Hyundai Engineering said on the 20th it will absorb and merge Korea EV Charging Service and integrate the group's electric vehicle charging business capabilities.
Hyundai Engineering held a board meeting and approved an agenda to absorb and merge Korea EV Charging Service. The merger date is Nov. 1, with Hyundai Engineering remaining as the surviving company and Korea EV Charging Service to be dissolved.
The merger ratio is 1 to 0.3132476. The per-share valuation of Hyundai Engineering was set at 58,101 won, and Korea EV Charging Service at 18,200 won. Hyundai Engineering will issue new merger shares and allocate them to existing shareholders of Korea EV Charging Service according to the merger ratio.
Through this merger, Hyundai Engineering plans to establish an integrated electric vehicle charging (EVC) business system that combines EV charging facility construction and operation, maintenance, and customer service platform operations into one.
Since 2022, Hyundai Engineering has carried out EV charging facility construction and operation and has built about 12,000 charging units to date, and it also operates an EVC integrated control center for maintenance.
Korea EV Charging Service has operated charging services and a platform based on about 240,000 members and about 4,000 charging units.
After the merger, Hyundai Engineering plans to develop its own customer platform and expand the scale of charging facilities.
It also plans to pursue ways to link the EV charging business with the energy business. Hyundai Engineering is participating in a vehicle-to-grid (V2G) pilot project in Jeju that connects power stored in vehicle batteries to the grid.
Going forward, it will pursue building a platform that links EV batteries with a virtual power plant (VPP) to participate in the power brokerage market. It is also reviewing an EV charging station model that combines the UBESS business, which uses used EV batteries as energy storage systems (ESS), with renewable energy businesses such as solar power.
A Hyundai Engineering official said, "After comprehensively considering the growth potential of the EV charging business, business synergies, and operational efficiency, we decided on an absorption merger of Korea EV Charging Service," and added, "We will further develop an integrated EVC business model that links charging facilities with future energy businesses."