Hyundai Heavy Industries Holdings (HHIH) has completed its acquisition of quarrying and construction equipment manufacturer Doosan Infracore.
Doosan Infracore will become a subsidiary of the newly created Hyundai Genuine (HG) group alongside Hyundai Construction Equipment (HCE) as two independent construction equipment companies under HHIH.
South Korea's antitrust regulator approved the takeover - first announced in February this year - in July.
Hyundai Genuine will act as the intermediary company of HHIH Group’s construction equipment businesses and will lead both DI and HCE to maximise the company’s efforts and focus on the construction equipment industry.
In a statement, Doosan Infracore said that the two brands will combine as a global top player, putting the combined entity much closer to achieving the goal of becoming a global top five player in off-road equipment.
It said that the plan is to manage overlapping investments and invest heavily in areas like future technologies and innovation. Doosan Infracore added that it will be "working diligently to commercialise Concept-X and develop cutting-edge products such as electric excavators, battery packs, hybrid fuel cells, and other next-generation products."
By focusing on each company’s areas of strength, Doosan Infracore says that HG will be able to advance the development of these types of products to gain a competitive edge in the global market.
"Independently, the two companies will grow together, complement each other, even compete in good faith in all areas, including technology, production, purchasing, sales, and quality," it states. "This will enable our business to expand and associate with other companies operated by the whole HHI group."