HD Hyundai Heavy Industries has signed a definitive agreement to sell its Gunsan shipyard to J Ocean Heavy Industries for KRW 780 billion, approximately $570 million, as part of its non-core asset disposal plan.
The company disclosed the transaction in a regulatory filing on 26 June. J Ocean Heavy Industries is a special purpose company established by Eco Prime Marine Pacific, the largest shareholder of HJ Heavy Industries.
According to the filing, the sale is aimed at improving business efficiency by divesting assets outside the company’s core operations.
The agreement follows a memorandum of agreement signed in March at Eco Prime Marine Pacific’s headquarters in Seoul. The two sides then carried out site inspections and due diligence before signing the final contract.
The Gunsan shipyard was completed in 2010 and covers approximately 1.8 million square meters.
The facility suspended operations in 2017 after a downturn in the global shipbuilding industry reduced new orders. It resumed operations in October 2022 and has since produced about 100,000 tonnes of shipbuilding blocks annually.
