South Korea's Hyundai Global Service aims to raise $1 bln in IPO -sources (updated)

HD Hyundai

20/09/2023 07:51

(Adds deal details and company background from sixth paragraph)
    By Kane Wu and Scott Murdoch
       HONG KONG/SYDNEY, Sept 20 (Reuters) - Hyundai Global
Service, backed by private equity giant KKR  KKR.N , aims to
raise up to $1 billion in a Seoul initial public offering (IPO)
in the first half of 2024, said two people with direct knowledge
of the matter.
    The marine services arm of South Korean shipbuilder Hyundai
Heavy Industries Holdings is targeting a valuation of $3 billion
to $4 billion, said one of people, who declined to be identified
as the information was private.
    Hyundai Global Service did not immediately respond to
requests for comment, while KKR declined to comment.
    KB Securities, JPMorgan and UBS have been mandated to work
on the offering, said a spokesperson for KB Securities. JPMorgan
did not respond to a request for comment and UBS declined to
comment.
    The deal size is not finalised and subject to change, the
sources said.
    Hyundai Global Service provides marine aftersales, retrofit
solutions, as well as digital transformation and bunkering
services, according to KKR's website. 
    In 2021, Hyundai Heavy agreed to sell 38% of Hyundai Global
Service shares to KKR for 646 billion won plus a cash dividend
of 150 billion won from Hyundai Global Service.
    KKR said at the time it valued Hyundai Global Service at
about 2 trillion won ($1.5 billion).
    South Korea's Doosan Robotics said on Tuesday it would price
its IPO at the top of the price range to raise $317 million. 
    At that level, Doosan Robotics, which is majority owned by
Doosan Corp  000150.KS , will be valued at $1.3 billion.

 (Reporting by Kane Wu in Hong Kong and Scott Murdoch in Sydney;
Additional reporting Joyce Lee and Heekyong Yang Seoul; Editing
by Sumeet Chatterjee, Christopher Cushing and Edwina Gibbs)
 ((Scott.Murdoch@thomsonreuters.com;))