The rating on Korea-based integrated logistics company Hyundai Glovis Co. Ltd. (Glovis; BBB/Positive/--) reflects the company's good position in Korea's logistics market, supported by its strong relationship with Hyundai Motor Group (HMG); its strong potential for revenue growth; and its moderate financial risk profile. Constraining factors include the company's narrow customer base, its exposure to the highly cyclical and competitive automotive industry, and its weak corporate governance. Glovis is HMG's main logistics provider and one of the largest in Korea. The company manages the supply and warehousing of automotive materials for Hyundai Motor Co. (HMC; BBB/Positive/--) and Kia Motors Corp. (Kia; BBB/Positive/--). Glovis operates two businesses, mostly related to the auto industry: logistics and distribution. Revenue from HMG accounted for...
Companies mentioned in this report are: Hyundai Glovis Co. Ltd.
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