Kim Dong-sun, president of future strategy at Hanwha Machinery & Service Holdings (Hanwha M&S), is launching a tender offer for company shares using his personal funds.
According to Hanwha M&S, Kim will launch a tender offer for 16.06 million common shares held by existing shareholders for 22 days starting today through November 2.
The offer price is set at 8000 won per share. This represents a 27% premium over the average stock price of around 6,300 won over the past month, and approximately a 32% premium compared to the closing price of 6080 won on October 8, the previous trading day.
The tender offer targets approximately 19% of the total common shares. The total purchase value stands at approximately 128.5 billion won ($93.6 million), which will be funded entirely through Kim’s personal assets.
Hanwha M&S explained that the decision was made to enhance shareholder value and reinforce responsible management. The company added that it reflects concerns raised by shareholders regarding stock price declines and future growth potential during its first extraordinary general meeting held last month.
Kim oversees future strategy at Hanwha M&S, driving growth strategies across its technology and lifestyle sectors. The company stated that the tender offer demonstrates Kim’s confidence in the future growth potential of these businesses and his commitment to responsible management.
Starting with this tender offer, Kim plans to pursue various initiatives to enhance shareholder returns and strengthen responsible management.
A representative from Hanwha M&S stated, “The growth potential of Hanwha Group’s tech and lifestyle divisions has not been fully reflected in the stock price. We expect President Kim’s tender offer to serve as a positive signal to the market and shareholders, ultimately boosting both shareholder value and corporate value.”
By Geum Yun-ho, reporter for The Better Future
