Hyundai Glovis to invest $449mn in Hyundai Motor Group R&D hub

Hyundai Glovis CI

Hyundai Glovis Co. will invest 672 billion won ($449 million) into a future research development (R&D) hub being developed by Hyundai Motor Group near Bokjeong Station in Songpa District, southern Seoul.

Hyundai Motor Group plans to invest a total of 8 trillion won to transform the area into a major R&D center by 2030 focused on developing next-generation growth businesses for its core affiliates.

Hyundai Glovis announced on Wednesday that it would acquire 672,000 shares of the real estate leasing company HMG Future Complex for 672 billion won. Last month, Hyundai Motor Group’s board approved the establishment of HMG Future Complex as a new corporate entity.

The project is intended to secure a strategic base for leading future businesses, with multiple Hyundai affiliates jointly participating in the newly established corporation and acquiring equity stakes to advance the development.

Five affiliates – Hyundai Motor Co., Kia Corp., Hyundai Mobis Co., Hyundai Steel Co., and Hyundai Rotem Co. – will collectively contribute 7.3 trillion won. Hyundai Glovis’s additional 672 billion won investment raises the total project value to 8 trillion won.

The affiliate investments will be deployed over the next five years for land acquisition and construction of buildings.

Hyundai Motor Group aims to begin construction during the first half of this year and complete the development by 2030.

Industry observers expect the HMG Future Complex to serve as a group-wide control tower integrating future businesses such as electrification, software-defined vehicles, artificial intelligence, and robotics.

The Bokjeong Station area, which connects Seoul’s Songpa District and Seongnam in Gyeonggi Province, is considered a key southeastern metropolitan hub and is currently undergoing a large-scale mixed-use development project.

The Bokjeong Station district development project, with a total estimated cost of 10 trillion won, aims to create a self-sustaining smart city combining office, commercial, cultural, and residential functions.