Hyundai Oil Attracts 500 Million-Dollar Investment

Hyundai Oil Refining Co. succeeded in attracting 500 million dollars (660 billion won) in investment from IPIC, a United Arab Emirate (UAE) state-run oil company. A source at Hyundai said, 'IPIC will buy all of the new share offerings which will be issued at the beginning of 1999. This means IPIC will have a 50% stake of Hyundai Oil and we will jointly manage the company. The shares include 37 billion won worth of shares (5%) which Korean Air will sell to us.'
He added, 'IPIC basically agreed to the planned acquisition of Hanwha Energy and Hanwha Energy Plaza.' Hyundai's capital will rise from 686.5 billion won to 1.2 trillion won if the funds are added. Hyundai plans to utilize funds to lower their debt ratio from 400% to 100%.