Hankook recently announced the acquisition of a 75 per cent equity stake of Model Solution Ltd, who are a high-tech digital prototype company. This 75 per cent stake represented an investment of 68.6 billion KRW (approximately 53.5 million Euro).
Hankook Tire Acquires 75% Stake in Model Solution Ltd
The tyre maker plans to incorporate Model Solution as an affiliate company. Hankook Tire’s share of 75 per cent in Model Solution will be made up of a 51per cent stake from the UK electronics company Laird and a 24 per cent stake from the global private equity firm Crescendo Equity Partners.
The high-tech digital prototype company Model Solution designs and manufactures prototypes and molds for IT equipment such as electronic and medical devices. In 2007, the company started to work in the field of prototype solution services and is currently serving 420 clients worldwide.
Model Solution provides first-class design and prototyping support through its high level technical and design expertise. Additionally, by constantly developing high-tech skills such as 3D-printing, the company is one of the players at the forefront of the industry.
This acquisition is part of Hankook Tire’s plans to strengthen its investment in promising technologies. Through active mergers and acquisitions of high-tech corporations, the tyre maker aims to secure a new growth engine.
Furthermore, the synergy effect with existing cooperations can be maximised by bringing together Model Solution’s expertise and the processing techniques of Hankook Tire’s affiliate M&K Technology, a super-size mold equipment company.