Hyundai Doosan Infracore Co., Ltd. (), formerly known as Doosan Infracore, is a South Korean company that manufactures

construction equipment Heavy equipment or heavy machinery refers to heavy-duty vehicles specially designed to execute construction tasks, most frequently involving earthwork operations or other large construction tasks. ''Heavy equipment'' usually comprises five e ...

and

engine An engine or motor is a machine designed to convert one or more forms of energy into mechanical energy. Available energy sources include potential energy (e.g. energy of the Earth's gravitational field as exploited in hydroelectric power ...

. It is one of the largest

manufacturers by sales revenue. Doosan Infracore was acquired by

Hyundai Heavy Industries Group HD Hyundai () is one of the largest South Korean conglomerates engaged in shipbuilding, heavy equipment, machine, and petroleum. HHI Group is controlled by HD Hyundai Co., Ltd. (), formerly known as Hyundai Heavy Industries Holdings Co., Ltd. ...

in 2021.

History

Daewoo Heavy Industries

Daewoo Heavy Industries was founded in 1937 as Chosun Machine Works when Korea was under Japanese rule. After Japan's withdrawal from Korea, the company was nationalized by the government and was transformed into a public company in 1963 as Hankook Machine Industrial. In 1969, Hankook Machine was privatized after being sold to Shinjin Group. In 1975, the company began producing diesel engines with financial support from the German government and technical collaboration with

MAN SE MAN SE (abbreviation of ''Maschinenfabrik Augsburg-Nürnberg'', ) was a manufacturing and engineering company based in Munich, Germany. Its primary output was commercial vehicles and diesel engines through its MAN Truck & Bus and MAN Latin Ame ...

. However, the company was financially strapped due to the lack of domestic demand and unstable direction, and Shinjin had to sell the company back to a government-controlled bank. Then, in 1976, Daewoo Industrial and its affiliates purchased a 44.8% stake in the total share and changed the name to Daewoo Heavy Industries.

Doosan Infracore

Singapore Doosan-DX-225-LCA-excavator-01

During the financial crisis in 1997, Daewoo collapsed, and its affiliates were sold to other companies. Daewoo Heavy's shareholders first approved separating the firm's shipbuilding and machinery operations into stand-alone companies,

Daewoo Shipbuilding & Marine Engineering Daewoo Shipbuilding & Marine Engineering Co., Ltd ( ko, 대우조선해양; abbreviated DSME) is one of the "Big Three" shipbuilders of South Korea, along with Hyundai and Samsung. History On 21 February 2011, the A. P. Moller-Maersk Group (M ...

and Daewoo Heavy Industries & Machinery. In 2005,

Korea Development Bank Korea Development Bank (KDB Bank, SWIFT: KODBKRSE) is a wholly state-owned policy development bank in South Korea. It was founded in 1954 in accordance with The Korea Development Bank Act to finance and manage major industrial projects to expedit ...

and Korea Asset Management Corporation chose a consortium led by

Doosan Heavy Industries Doosan Enerbility Co., Ltd., formerly known as Doosan Heavy Industries, is a heavy industrial company headquartered in Changwon, South Korea. It was established in 1962. Its business includes manufacturing and construction of nuclear power ...

as a prime bidder for Daewoo Heavy and officially signed a contract. After the acquisition, Daewoo Heavy was renamed Doosan Infracore. Doosan Infracore expanded the heavy equipment business by acquiring global players. In March 2007, the company acquired Yantai Yuhua Machinery, a

wheel loader A loader is a heavy equipment machine used in construction to move or load materials such as soil, rock, sand, demolition debris, etc. into or onto another type of machinery (such as a dump truck, conveyor belt, feed-hopper, or railroad car) ...

maker, for 22 million yuan. Doosan recorded South Korea's largest international acquisition by purchasing Bobcat and other construction equipment units from

Ingersoll Rand Ingersoll Rand is an American multinational company that provides flow creation and industrial products. The company was formed in February 2020 through the spinoff of the industrial segment of Ingersoll-Randplc (now known as Trane Technologies) ...

for $4.9 billion in November 2007. Doosan's European subsidiary took over Norwegian

dump trucks A dump truck, known also as a dumping truck, dump trailer, dumper trailer, dump lorry or dumper lorry or a dumper for short, is used for transporting materials (such as dirt, gravel, or demolition waste) for construction as well as coal. A typ ...

firm

Moxy Engineering Moxy Engineering is a Norwegian manufacturer of articulated haulers (dump trucks) for off-road use in the earth moving and construction industries. Moxy was founded by the industrialist Birger Hatlebakk, who had previously founded the Glamox fa ...

for €55 million in 2008.

Hyundai Doosan Infracore

Alike Daewoo in 1997,

Doosan Group Doosan Group () is a South Korean multinational conglomerate corporation. In 2009, the corporation was placed in the ''Fortune'' Global 500 index. It is the parent company of Bobcat and Škoda Power. Doosan Group is the oldest running company i ...

also faced a liquidity crisis due to years of declining orders amid an economic slowdown. Doosan decided to sell a stake held by Doosan Heavy in Doosan Infracore to improve its financial structure. In 2021,

purchased a 35 percent stake in Doosan Infracore for 850 billion won. However, Doosan Infracore's 51 percent stake in Doosan Bobcat was not included as part of the sale.

References

External links