GS Engineering & Construction Corp. has agreed to offload its Spanish water treatment subsidiary GS Inima Environment SA for ₩1.67 trillion ($1.2 billion), marking the latest in a series of non-core asset sales since the South Korean builder’s operations were restricted following a deadly construction accident.
The Seoul-based company disclosed the transaction in a regulatory filing Friday but declined to identify the buyer. Industry sources suggest Abu Dhabi National Energy Co., the UAE state-controlled utility known as TAQA, is the likely acquirer, according to local media reports.
GS E&C acquired the Madrid-based water treatment company from Spanish construction firm OHL Group in 2011. GS Inima generated ₩52.2 billion ($37.5 million) in net profit last year on revenue of ₩493 billion, with significant exposure to Middle East desalination projects including facilities in Oman and the UAE.
The divestment continues GS E&C’s efforts to improve liquidity after regulatory authorities suspended its new project activities for eight months last year. The restrictions followed an underground parking garage collapse at an Incheon apartment complex that killed nine people and injured eight others in April 2023.
Since October, the company has shed GS Elevator Co. and energy maintenance provider Zeit O&M Co. to Genesis Private Equity for undisclosed amounts. The transaction is expected to close by February 2027, subject to regulatory approvals.
