SEOUL, KOREA - Hyundai Amco, a non-listed construction subsidiary of Hyundai Motor Group, will be reborn as a new business unit on April 1, after being merged with Hyundai Engineering. Hyundai Amco and Hyundai Engineering announced on January 16 that they each held an extraordinary board meeting and resolved the merger agreement.
It will take the form of a merger by absorption, with Hyundai Engineering absorbing Hyundai Amco on a merger ratio of 1 to 0.18.
Hyundai Amco, established in 2002, has been engaged mostly in construction works for group companies, including those related with automobiles and steels. Hyundai Amco ranks No. 13 among Korea’s major construction firms.
Hyundai Engineering was founded as a subsidiary of Hyundai Construction which has a 75-percent stake in the former.
The merger between Hyundai Amco and Hyundai Engineering is part of Hyundai Motor Group’s strategy to promote the growth of its construction business. The group aims to develop the newly combined unit as one of the world’s top-ten engineering companies by 2025.
