Jungheung Group, comprising of 62 construction companies, has successfully completed the purchase of Daewoo Engineering and Construction (Daewoo E&C). This means that they have become one of the top four builders in Korea, according to a report from Business Korea.

Jungheung was selected as the preferred bidder for the takeover by Daewoo E&C back in July 2021 and five months later have completed the deal.

A stock purchase agreement was signed to take over 50.75% of Daewoo E&C’s shares on 9 December for 2.1 trillion won (US$ 1.8 billion), with the shares being held by Korea Development Bank.

Initially, Jungheung offered just short of US$2 billion for the shares but this was subsequently lowered when it became known that their bid was US$400 million more than the second highest bidders.

Business Korea says that Korea Development Bank came under fire for allowing the re-tender after Jungheung became aware of the bidding gap and cut their price.

Jungheung Group is expected to become Korea’s third-largest construction group by assets.

Latest News
Manitowoc offers ‘fresh start’ for women in recovery
Brooke’s House and The Manitowoc Company are helping women forge lifelong skills in the manufacturing industry.
These 18 US firms won the inaugural GSA ‘Construction Awards’
The US agency named its favourite projects on federal property
Manitou launches scissor line
Three models to be introduced in following months