HS Hwasung, a construction company headquartered in Daegu, is taking its first step to enter overseas markets.
HS Hwasung said on the 5th that, together with Youngjin General Construction, it won a contract for a bus rapid transit (BRT) road project in Nairobi, Kenya, marking its first entry into the African market.
This award comes about 1 year and 7 months after the company formed a dedicated overseas business unit, starting from its name change in Jul. 2024.
Youngjin General Construction, the partner for this project, will oversee stable operations across the project based on its overseas business and administrative management capabilities accumulated through domestic and international civil infrastructure projects over the past 50 years, as well as its experience working with overseas clients. HS Hwasung will be responsible for quality and execution, drawing on precision construction technology and site-centered process management know-how accumulated over 68 years across a variety of urban infrastructure projects in Korea, including roads, bridges, and buildings.
Supported by the Economic Development Cooperation Fund (EDCF) of The Export-Import Bank of Korea, this project aims to improve urban transportation infrastructure in Africa. The total construction amount is about 78.4 billion won, the construction period is 24 months from the start date, and HS Hwasung will participate with 40% equity.
BRT, known as bus rapid transit, is a public transportation system in which multiple buses operate at scale in city centers using dedicated bus lanes, offering the advantage of securing an efficient public transit system at a lower expense in urban areas where rail operation is difficult.
The construction covers a total of 10.5 km of arterial roads on the outskirts of Nairobi, Kenya, including civil works such as two viaducts and three steel bridges, and building works including 13 BRT stations and an operations depot.
Jang Ik-mo, head of HS Hwasung's overseas business team, said, "Going forward, along with expanding participation in EDCF tenders, we will broaden our overseas business portfolio to include international greenhouse gas reduction projects, where HS Hwasung has strengths, as well as eco-friendly renewable energy projects and public-private partnership (PPP) projects."