Hanwha Stock Doubles in a Year as Split Plan Puts Next Rally in Focus

Hanwha approved a spin-off and corporate value enhancement plan at a board meeting on Jan. 14. With its share price having doubled over the past year, market attention has shifted to whether the gains can continue after the split. The restructuring separates infrastructure businesses that require long-term investment from technology and service businesses that need faster decision-making. The surviving Hanwha entity will retain core growth engines in defense and aerospace, shipbuilding and offshore, energy and chemicals, and finance. The new Hanwha Machinery & Services Holdings will include Hanwha Vision, Hanwha Momentum, Hanwha Robotics, Galleria, Hotels & Resorts and Ourhome. The split ratio is about 76% for the surviving company and 24% for the new company. Hanwha also proposed cancelling 5.9% of treasury shares and raising dividends. Source: hankyung.com