Input 2021.01.23 06:00 | Revision 2021.01.23 08:14
As Hyundai Motor Group is reviewing plans to change the design of the Global Business Center (GBC), originally planned to be built with 105 stories high (569 m), into three 50-story buildings, it is predicted that the group’s business transformation will also accelerate. Rather than showing off the group’s status by constructing a skyscraper, it is possible to expand investment in the future mobility sector by changing plans to save investment costs and use space efficiently.
According to the industry on the 23rd, Hyundai Motor Company is known to be able to save up to 2 trillion won through GBC design changes. The construction cost of a 105-story high-rise building was estimated to be 3.7 trillion won, but if the design is changed to three 50-story buildings, the construction cost can be reduced to 1.5 trillion won.
Constructing GBC at lower cost will allow you to expand your investment in future business. Hyundai Motor Company is planning huge investments to keep pace with the rapidly changing global mobility industry, such as the emergence of electric vehicles and autonomous vehicles and the opening of the UAM (Urban Air Mobility) market. Chairman Eui-sun Eui said last year, “I will take 2020 as the first year to secure my market leadership in the field of future cars, and will invest a total of 100 trillion won each year until 2025.”
The 2 trillion won is enough for Hyundai Motor Group to acquire a company with advanced technologies to strengthen competitiveness in new business areas. Last year, Hyundai Motor Company acquired Boston Dynamics, an American robot development company with a scale of 1 trillion won, and in 2019 invested 2 trillion won ($1.6 billion) to establish a joint venture with Aptiv, an American company that possesses world-class autonomous driving technology. did.
This evaluation is also reflected in Hyundai Motor’s share price. Hyundai Motor Company last September 2014, Korea Electric Power (015760)The Samsung-dong site was bought for 10.55 trillion won, more than three times the appraised price of 3.30 trillion won. At the time, the stock price of Hyundai Motor Group fell sharply as the news that Hyundai Motor Company was betting a huge amount. Just four days after the decision to buy the site was announced Hyundai Motor (005380), Kia Motors (000270), Hyundai Mobis (012330)The market capitalization of the three listed companies decreased by more than 10 trillion won, and there was a joke in the industry that “Hyundai Motor paid twice the price of the successful bid.”
Nevertheless, Emeritus Chairman Chung Mong-koo showed a strong commitment to the construction of GBC. Chairman Chung Mong-koo, who visited the GBC construction site in July 2016, two years after the purchase of the site, said, “GBC is a symbol of the new 100 years of Hyundai Motor Group and a place where you can realize your dream of becoming a top-notch company.”
Building a skyscraper with 100 floors or more requires special technology for safety, such as designing a foundation to withstand heavy building weight to designing a wind tunnel that withstands strong winds, so it costs much more than building multiple low buildings. , Space efficiency drops. In addition, if you build three 50-story buildings than when you build a single 105-story tower, you can get additional profits because the 150-story space is used.
In the securities industry, regarding the recent sharp rise in Hyundai Motor’s stock price, it was also evaluated that “investors responded to the shifting of the excessive investment in the construction of skyscrapers to a practical direction.”