View all newsletters
Receive our newsletter – data, insights and analysis delivered to you
  1. News
December 29, 2020updated 09 Mar 2022 11:38am

China approves Hyundai and Daewoo’s shipbuilding merger

Chinese antitrust authority has sanctioned the merger between two major South Korean shipbuilding firms, Daewoo Shipbuilding and Marine Engineering (DSME) and Korea Shipbuilding and Offshore Engineering (KSOE), a shipbuilding unit of Hyundai Heavy Industries (HHI) Group.

Chinese antitrust authority has sanctioned the merger between two major South Korean shipbuilding firms, Daewoo Shipbuilding and Marine Engineering (DSME) and Korea Shipbuilding and Offshore Engineering (KSOE), a shipbuilding unit of Hyundai Heavy Industries (HHI) Group.

Free Report
img

What’s missing from your IPO industry assessment?

IPO activity all but stopped in 2020, as the investment community grew wary of the effects of COVID-19 on economies. No matter how deserving a business was of flotation, momentum was halted by concerns of when a ‘new normal’ of working patterns and trade would set in. Recently, sentiment has changed. Flotations picked up again during the second half of 2021, and now in 2022 the mood is decidedly optimistic. Business leaders have their eyes on fast rebounding economies, buoyant market indices and the opportunity once again to take their businesses public. As a result, global IPOs are expected to hit back this year. With GlobalData’s new whitepaper, ‘IPOs in Consumer and Retail: 5 must-include elements for your prospectus industry report’, you can explore exactly what is needed in the essential literature. GlobalData’s focus lies in the critical areas to get right:
  • Macroeconomic and demographic environment
  • Consumer context
  • Industry environment
  • Competitive environment
  • Route to market
Interested to learn more about what to include in your IPO Industry Assessment report? Download our free whitepaper.
by GlobalData
Enter your details here to receive your free Report.

KSOE recently received a notice from China’s State Administration for Market Regulation, which stated that the merger will not violate any antitrust laws or influence fair competition in the country, reported Yonhap News Agency.

For KSOE, this unconditional approval is the third international antitrust approval related to the merger so far.

Kazakhstan had approved the deal in October 2019, while the Competition and Consumer Commission of Singapore (CCCS) cleared the planned merger in August 2020.

In July 2019, KSOE had furnished its merger appeal to the Chinese competition authorities after which Beijing conducted three reviews.

The merger, which will reportedly cost around $1.8bn, still needs to be approved by the European Union, South Korea, and Japan.

Due to the coronavirus pandemic, the EU has postponed its review three times.

In March 2019, HHI inked a deal to acquire a 55.72% stake in Daewoo Shipbuilding.

Recently, KSOE received orders worth a total of approximately $528m for seven vessels from shipping firms in Europe.

Korea Shipbuilding will construct four 13,200TEU container ships, two 40,000m² liquefied petroleum gas carriers and one product carrier.

Presently, three shipbuilding units of HHI Group, namely Hyundai Heavy Industries, Hyundai Mipo Dockyard and Hyundai Samho Heavy Industries, are operating under KSOE.

Related Companies

Free Report
img

What’s missing from your IPO industry assessment?

IPO activity all but stopped in 2020, as the investment community grew wary of the effects of COVID-19 on economies. No matter how deserving a business was of flotation, momentum was halted by concerns of when a ‘new normal’ of working patterns and trade would set in. Recently, sentiment has changed. Flotations picked up again during the second half of 2021, and now in 2022 the mood is decidedly optimistic. Business leaders have their eyes on fast rebounding economies, buoyant market indices and the opportunity once again to take their businesses public. As a result, global IPOs are expected to hit back this year. With GlobalData’s new whitepaper, ‘IPOs in Consumer and Retail: 5 must-include elements for your prospectus industry report’, you can explore exactly what is needed in the essential literature. GlobalData’s focus lies in the critical areas to get right:
  • Macroeconomic and demographic environment
  • Consumer context
  • Industry environment
  • Competitive environment
  • Route to market
Interested to learn more about what to include in your IPO Industry Assessment report? Download our free whitepaper.
by GlobalData
Enter your details here to receive your free Report.

NEWSLETTER Sign up Tick the boxes of the newsletters you would like to receive. The top stories of the day delivered to you every weekday. A weekly roundup of the latest news and analysis, sent every Friday. The industry's most comprehensive news and information delivered every month. The industry's most comprehensive news and information delivered every month.
I consent to GlobalData UK Limited collecting my details provided via this form in accordance with the Privacy Policy
SUBSCRIBED

THANK YOU

Thank you for subscribing to Ship Technology