HHI sells two companies that make ship components

Hyundai Heavy Industries said Monday that it sold affiliates making ship components as it prepares to acquire Daewoo Shipbuilding and Marine Engineering (DSME).

According to Hyundai Heavy, it sold off Hyundai Hyms on Monday and Hyundai Heavy Industries Turbomachinery last month to different financial consortia. Hyundai Hyms was sold for 130 billion won ($115 million) and Hyundai Heavy Industries Turbomachinery for 80 billion won.

Hyundai Hyms produces shipbuilding components while Hyundai Heavy Industries Turbomachinery focuses on steam turbines and pumps used mostly for large offshore plants.

The shipbuilder said it believes the sales will ease concerns of DSME’s parts suppliers. The suppliers have worried that Hyundai Heavy would take away their work for DSME and give it to its own affiliates.

By Kim Jee-hee