Hyundai Engineering Co., the plant engineering unit of Hyundai Engineering & Construction, ahead of pricing its initial public offering vowed to enhance eco-friendly energy solutions for sustainable growth.

“We’ve improved the brand awareness with global EPC projects and housing business so far and now is planning to prepare for sustainable growth in the future by strengthening capabilities in energy transition and new eco-friendly business after the IPO,” said Kim Chang-hak, CEO of Hyundai Engineering, during the online press conference held Tuesday.

Hyundai Engineering engages in plant/infrastructure business and construction/asset management business. As the country’s top 6 builder in terms of construction capability, the company’s order backlog reached 27.8 trillion won ($23.2 billion) as of the third quarter of 2021.

Hyundai Engineering is offering 16 million initial shares at a desired price band of 57,900 won to 75,700 won. Two-day book-building started on Tuesday, and public subscription is due on Feb. 3-4. Underwriters are Mirae Asset Securities, KB Securities and Goldman Sachs.

Proceeds from the initial offering will be used to invest in new businesses like next-gen small modular reactors, carbon dioxide resource recovery, hydrogen production from waste plastics and ammonia, and waste material incineration and disposal.

Hyundai Engineering has been acknowledged for its construction capability with its Hill State apartment brand. Last year, its urban development business drew 2.4 trillion won worth orders plus various projects for smart factory, EV battery production facilities and hydrogen charging stations.

As a construction unit under Hyundai Motor Group, mega-size projects also have been assigned like the building of Hyundai Motor’s new headquarters Global Business Center in Seoul.

“We’ll lead energy transition and new green businesses for sustainable future and the second leap forward. Based on cooperation with the group, we’ll build an EV plant and hydrogen ecosystem,” said Kim.

By Seo Chan-dong and Lee Ha-yeon

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