S.Korea's construction firm Hyundai Engineering prepares for IPO

Hyundai Engineering & Construction Co

13/04/2021 07:45

SEOUL, April 13 (Reuters) - South Korean construction
company Hyundai Engineering said on Tuesday it had reached out
to brokerage firms at home and abroad for them to make bids to
carry out the firm's initial public offering (IPO). 
    Hyundai Engineering, an affiliate of Hyundai Motor Group,
engages in the civil and infrastructure engineering and
construction business. 
    "We have submitted our proposals to brokerage firms, but
details of the IPO timeline or plans have not been decided yet,"
a Hyundai Engineering spokesperson said, adding that the company
was eyeing an IPO to improve its credibility in the global
market and to secure financial flexibility. 
    Hyundai Engineering & Construction Co Ltd  000720.KS  owns
38.6% of Hyundai Engineering, while Hyundai Motor Group chairman
Euisun Chung has a 11.7% stake in the firm, according to the
company's regulatory filing.  
    In March, the construction firm reported an operating profit
of 259 billion won ($229.87 million) in 2020, down 37% from a
year earlier. Revenue rose to 7.2 trillion won in 2020, up about
6% from a year earlier. 

($1 = 1,126.7200 won)

 (Reporting by Heekyong Yang; Editing by Ana Nicolaci da Costa)
 ((Heekyong.Yang@thomsonreuters.com;))