1. What Happened? The HDSK and HD HHI Merger
HDSK is set to acquire a 69.29% stake in HD HHI and HD Hyundai Mipo Dockyard through a merger. Scheduled for December 1, 2025, this substantial investment is valued at approximately ₩32 trillion.
2. Why Merge? Synergy and Enhanced Competitiveness
The core objective of this merger is to create synergy by integrating technology, workforce, and resources. By leveraging synergies across shipbuilding, offshore plants, engine machinery, and green energy, the combined entity aims to bolster its global competitiveness and drive overall group growth.
3. What’s Next? Positive Outlook and Potential Risks
- Positive Impacts:
- Enhanced synergy and competitiveness across business segments
- Increased operational efficiency and cost reduction
- Maximized group synergy and new business development
- Improved financial stability and soundness
- Potential Risks:
- Uncertainties in the merger process and potential unforeseen issues
- Integration costs and potential delays in realizing synergy effects
- Financial impact of exchange rate and interest rate fluctuations (KRW/USD exchange rate at 1,395, US interest rate at 4.50%, Korean interest rate at 2.50%)
4. What Should Investors Do? Action Plan
- Maintain a positive outlook from a long-term perspective
- Closely monitor merger progress and the realization of synergy effects
- Pay continuous attention to exchange rate fluctuations and global economic conditions
- Monitor efforts to secure new growth engines, such as green energy and hydrogen businesses