On the 16th, Samsung Heavy Industries announced that it will sell the Pangyo R&D Center for 400 billion won to improve financial soundness and secure investment resources.

The Samsung Heavy Industries Pangyo R&D Center, located in Bundang-gu, Seongnam, was completed in December 2014 and consists of 5 basement levels and 8 above-ground levels, covering an area of 7,460 square meters (approximately 2,257 pyeong).

Pan-gyo R&D Center of Samsung Heavy Industries /Courtesy of Samsung Heavy Industries

Samsung Heavy Industries has been expanding investments in facilities for verification and in unmanned and automated shipyards to strengthen the technological competitiveness of eco-friendly vessels such as ammonia and liquefied natural gas (LNG), and explained that it decided on this sale to secure investment resources.

The contract is a 'Sales and Lease Back' transaction where the property will be leased back after the sale, with the transaction partner being the property investment company Aegis Long Whale No. 1. Samsung Heavy Industries will continue to maintain its Pangyo establishment by converting to lease.

A Samsung Heavy Industries official said, 'The decision to sell was made to proactively prepare for the rapidly changing business environment and to enhance future competitiveness and improve financial structure.'