Hyundai Heavy Industries stock fell by a record 29 percent today after the company announced a plan to sell 12.5 million new shares by March to create capital and hedge against a variety of struggles facing the industry. The company is the second largest ship builder in the world.

Shares of Hyundai Heavy Industries’ holding company, Hyundai Robotics, and one of its shipbuilding units, Hyundai Mipo Dockyard, also dropped, though less dramatically, at 3.7 and 16 percent respectively. The company’s oil-refining unit, Hyundai Oilbank, will offer public shares beginning in March.

Hyundai Heavy Industries also released an earnings report Tuesday that showed an approximately 50% drop in sales from 2016-2017 and an anticipated further halving in sales from 2017-2018, and the company expects a fourth quarter operating loss this year while completing 2015 and 2016 shipbuilding orders.

The struggles facing Hyundai are reflected by the other two large shipbuilders in South Korea, Daewoo Shipbuilding & Marine and Samsung Heavy Industries. According to analysts, their struggles indicate challenges presented across the industry: a combination of falling oil prices, rising steel prices, rising competition and a surplus of ships that has reduced orders for large tankers.

Read more about the issue at Bloomberg or Agence France Presse.

Image: Hyundai Heavy Industries shipyard in South Korea, Wikimedia Commons