Hyundai Engineering & Construction (KRX:000720) subsidiary Hyundai Engineering has received a three-month business suspension order for its infrastructure and building construction business, effective from Aug. 5 to Nov. 4, following a serious industrial accident.
The suspension will affect approximately 5.54 trillion won in sales, representing nearly 18% of the parent company's total consolidated revenue for the latest fiscal year, according to a Tokyo bourse filing on Wednesday.
The subsidiary plans to file an application to suspend the effect of the order and a lawsuit to cancel the administrative disposition, and if the application is granted, the suspension will not impact operations until the court issues its decision.
Projects contracted before the disposition or commenced with required permits may continue despite the suspension, the filing read.