This article was published on Aug. 22, 2025, at 4:02 p.m. on the ChosunBiz MoneyMove site.
HD Hyundai's robotics subsidiary HD Hyundai Robotics is nearing the end of its pre-IPO (pre-Initial Public Offering) phase. The investment will be used to cultivate artificial intelligence (AI) industrial robots.
According to the investment banking (IB) industry on the 22nd, HD Hyundai Robotics plans to raise 200 billion won by issuing redeemable convertible preferred shares (RCPS) next month. It is reported that KY Private Equity (PE) and the Korea Development Bank have decided to invest.
HD Hyundai Robotics has been seeking pre-IPO investments since February, but attracting investment has been delayed due to stringent conditions. At the start of the investment attraction, HD Hyundai Robotics was reported to have presented a corporate value of 7-8 trillion won.
Doosan Robotics, a comparable company, had sales of 31.3 billion won over the past four years, while its market capitalization stands at about 3.8 trillion won. Considering that HD Hyundai Robotics had sales of 215 billion won last year, the figures are not impossible, but there has been a prevailing cautious view that Doosan Robotics' stock price has overheated.
An insider in the IB industry noted, "The required corporate value was too high, so no one easily jumped into investment," and added, "During the process of finding investors, the corporate value may have been somewhat realized." He continued, "Looking at Doosan Robotics, the value is possible, but there is no guarantee that it will succeed in the same way, so we did not participate in the investment."
HD Hyundai Robotics has set a condition to buy back the equity of financial investors (FIs) if it does not get listed within a certain period, but it did not establish a minimum corporate value. For investors, this means they must accept a listing at a lower corporate value than when investing in HD Hyundai Robotics. Typically, in pre-IPOs, requirements are set for listing at a corporate value above a certain amount within a few years.
A representative from KY PE stated, "There is nothing I can share regarding the transaction." A representative from HD Hyundai Robotics said, "We are currently reviewing various measures to strengthen our business competitiveness, but nothing has been confirmed yet."
HD Hyundai Robotics was established in May 2020 through a physical division from HD Hyundai. It manufactures industrial and collaborative robots. Last year's sales increased by 24.42% year-on-year, totaling 215 billion won. Operating profit turned to a surplus of 268 million won.
HD Hyundai holds 90% of the equity, while KT holds 10%. HD Hyundai Robotics attracted investment funds of 50 billion won from KT in 2020. At that time, the recognized corporate value of HD Hyundai Robotics was approximately 500 billion won.
KY PE is a private equity firm that gained recognition through a 500 million dollar (approximately 68 billion won) pre-IPO for SK Pharmtech last year. Jang Seong-eun, who has nearly 30 years of experience in investment banking at Shinhan Bank, has been leading KY PE since this year.