Hyundai Heavy Industries Holdings (HHIH) disclosed on February 23 that it had entered into an agreement with KKR to sell KRW 646 billion (about $582 million) of its subsidiary HGS interest.

According to a stock exchange filing released by HHIH, the 38 percent stake corresponds to 1,520,000 shares in the company.

HGS also paid out a cash dividend to HHIH in the amount of KRW 150 billion. This resulted in a total of KRW 800 billion being raised by HHIH through HGS's pre-initial public offering (IPO) funding. The funding, as advised, will support Hyundai's companies, including AI, robotics and hydrogen.

HGS is a spin-off of Hyundai Heavy Industries (HHI) and offers all-round facilities in the marine equipment sector for shipbuilding, power generation and electricity.

In particular, HGS includes renovation, repair and technical assistance for the life cycle of ships, from ship delivery to demolition.

Martime Business World