Hyundai-Rotem to buy Hyundai Wia's special vehicle unit for 358 billion won

Hyundai-Rotem said Monday it will acquire the special-purpose vehicle business of affiliate Hyundai Wia for 358 billion won ($266 million).

The purchase aims to concentrate the company's capabilities in the defense sector and strengthen its competitiveness in future weapons systems, Hyundai-Rotem said.

The transaction, disclosed in a regulatory filing, covers operating assets and liabilities, with a closing date set for March 31 next year. The purchase price compares with a business value of 480 billion won ($356 million) placed on Hyundai Wia's special-purpose division, a gap the companies' filings attribute to land and buildings worth 117 billion won ($86.8 million) that are excluded from the deal and will instead be leased.