(Photo courtesy of Develon)
HD Hyundai has announced plans to merge its construction equipment divisions to create a new company, tentatively named HD Construction Equipment. With a planned effective date of January 1, 2026, the merger by the South Korean company will combine HD Hyundai Infracore (Develon) and HD Hyundai Construction Equipment.
According to a release from Develon, the Hyundai and Develon brands will continue to coexist and, with the two brands currently operating independently in North America through distinct dealer networks, the independent brand and dealer network structure will remain in place.
The merger is pending shareholder approval and regulatory review, but the company says the aim is to create a stronger global construction equipment business while maintaining current success for the two brands in North America.
“While this merger creates a more powerful global entity, we are committed to ensuring stability and continuity for our dealers and customers in North America,” stated WH Kim, CEO of Develon North America. “Our dealers will continue to work with the same staff they do today, and the Develon and Hyundai brands will continue to be strong, independent forces in the market.”
In addition to growing the product lineup, ranging from compact to ultra-large machines, the manufacturer says merging the two companies will also provide greater price competitiveness through increased scale, accelerate innovation in smart and electrified equipment, and enhance supply chain efficiency and aftermarket support.
