GS E&C President of New Business Huh Yoon-hong (left) and President of Enterprise Investor Jacek Siwicki pose after signing an acquisition contract in the head office of Danwood, in Bialystok, Poland, Tuesday. (GS E&C)
GS Engineering and Construction said Tuesday it has taken over two European manufacturers of prefabricated houses, and is set to finish the acquisition process of an American company, aiming to expand its business in the global market.
According to GS E&C, the company signed the takeover contract with Danwood, a Polish company specializing in wood prefab houses, in Bialystok, Poland, Tuesday. At the signing ceremony, GS E&C President of New Business Huh Yoon-hong, Enterprise Investor President Jacek Siwicki and Danwood CEO Jaroslaw Jurak were present, the company said.
Earlier Thursday, the Korean construction company acquired British prefab company Elements Europe, which specializes in steel houses. GS E&C said it has also been in negotiations for the acquisition of a US prefab company, and will finish the process by February.
The moves mark the first and largest cases of a Korean construction company acquiring foreign prefabrication companies, GS E&C said.
GS E&C President of New Business Huh Yoon-hong and head of Elements Europe Roland Pickstock pose at an investment agreement ceremony, Thursday. (GS E&C)
While the prefabrication market has remained relatively small in Korea, with its relatively low labor costs, demand has been increasing due to aging construction manpower and reinforced regulations on work environment.
Prefabrication is an architectural technique popular in Europe and the United States where major structures are manufactured inside a plant and later assembled at the site.
“From the series of acquisitions, GS E&C has built the groundwork to take a leap. We will work to produce synergy with the new companies to strengthen our foothold in the global prefabrication market,” Huh said.
By Jo He-rim (email@example.com