Hanwha M&S President Kim Dong-seon to Make Additional Tender Offer for 10,143,000 Common Shares — “Expanding Opportunities for Shareholder Participation”

[Financial News] Kim Dong-seon, president overseeing future strategy at Hanwha Machinery & Service Holdings (M&S), said he intends to make an additional tender offer for 10,143,000 common shares. It is the second offer, following the tender offer for 16,060,000 Hanwha M&S common shares on the 12th.
Hanwha M&S said on the 22nd that Kim had submitted and disclosed an amended filing containing these details to the Financial Supervisory Service.
The tender offer covers 26,203,000 shares, about 10,140,000 more than the original amount. This is about 31% of the total shares. The offer price remains unchanged at 8,000 won per share. The offer period, October 12 to November 2, is also unchanged at 22 days.
With the increase in the number of shares covered, about 210 billion won in Kim’s personal funds is expected to be invested in this tender offer.
Kim’s decision to make an additional tender offer came after related parties, including Hanwha Group Senior Vice Chairman Kim Dong-kwan and Hanwha Life Vice Chairman Kim Dong-won, said they intended to tender their shares.
Kim Dong-kwan plans to tender 6,762,000 shares (8%), and Kim Dong-won 3,381,000 shares (4%). Together, these account for 63.2% of the original tender offer volume, potentially severely limiting participation by ordinary minority shareholders and, as a result, weakening the purpose of the tender offer system.
A Hanwha M&S official said, “Concerns were raised that the participation rights of ordinary minority shareholders wishing to tender their shares could be infringed, so President Kim substantially increased the volume of the tender offer,” adding, “This decision was made to uphold the purpose of a tender offer: to give all shareholders the opportunity to sell their shares on equal terms.”
Hanwha M&S, the holding company for Hanwha Group’s Tech and Life businesses, was established last August alongside the spin-off of those businesses. The Tech division comprises Hanwha Vision, Hanwha Semitek, Hanwha Momentum and Hanwha Robotics. The Life division includes Hanwha Galleria, Hanwha Hotels & Resorts and OURHOME.
[email protected] Kim Seo-yeon Reporter