Hyundai Heavy Industries has withdrawn its shares from the joint venture Korean Advanced Materials, which manufactures polysilicon. The low demand and sustained downturn in the photovoltaic industry has been blamed for the decision.
Hyundai Heavy Industries has pulled back and has transferred its 49% stake in Korean Advanced Materials to the KCC Group for free ". KCC Group and Hyundai Heavy had founded the joint venture Korean Advanced Materials in 2008.
The KCC Group will take over the polysilicon manufacturer as a 100% subsidiary, the report said.
After Hyundai Heavy Industries' gratis retirement of stocks from Korean Advanced Materials, the company has lost €83 million. Both companies had originally invested twice as much money in the joint venture.
At the end of 2012, Korean Advanced Materials had total debt of more than €130 million. In the future, the firm will continue to operate its photovoltaic module manufacturing plant in Eumseong, Chungbuk province, a company official told the Korean news portal.