▲ Providing loans and guarantee without collateral to partners recommended by Hyundai E&C
... Expected to facilitate funding of top partners
▲ Hyundai E&C runs various programs to financially support partners
... 100% cash payment for construction, operating industry’s largest win-win growth fund
▲ Hyundai E&C will lead win-win growth with partners through various funding support measures going forward
Based on its highest credit rating in the construction sector, Hyundai E&C is actively taking the lead in seeking win-win growth with its partners by running financial support programs for relatively cash-strapped partners.
Hyundai E&C recently signed an MOU with Seoul Guarantee Insurance Company (SGI) and Shinhan Bank on ‘financial support for Hyundai E&C partners’.
Through this MOU, Hyundai E&C will recommend its top partners to SGI and Shinhan Bank and support interest payment on loans, allowing partners to borrow at lower-than-market interest rates. Shinhan Bank will provide loans to recommended partners, and SGI provides guarantees for Hyundai E&C’s recommended partners so that they can freely take out loans without any separate collateral. Hyundai E&C will establishing such a loan guarantee support system so that top partners who had difficulty raising funds can receive practical help by borrowing the necessary funds more easily and conveniently.
Meanwhile, Hyundai E&C has been operating various financial support programs by establishing trusted relationships with top partners. .
Since 2020, Hyundai E&C has been giving out construction payments in 100% cash to its subcontracting partners in Korea, and has provided financial support to help subcontractors carry out the construction smoothly at the beginning of the construction. In addition, it operates the industry's largest win-win growth fund worth 160 billion won to support liquidity of its partners, helping subcontractors who requested loans from financial institutions with Hyundai E&C deposits to benefit from loans with interest rates lower than the market.
"We signed this agreement to help raise funds as we seek to growth with our partner companies," a Hyundai E&C official said, adding that "We will continue to actively support top partners to overcome difficult financial conditions through various financial support measures.”