Fair trade watchdog approves Hanwha's acquisition of additional KAI stakes
Korea's fair trade watchdog on Monday approved Hanwha Group's recent acquisition of additional stakes in Korea Aerospace Industries Ltd. (KAI). The Fair Trade Commission's (FTC) approval came after Hanwha Systems recently purchased a 3.45 percent stake in KAI, raising Hanwha Group's combined stake in the aircraft manufacturer to 15.89 percent, including the 9.9 percent held by Hanwha Aerospace.…
South Korea's fair trade watchdog recently greenlighted Hanwha Group's increase in ownership of Korea Aerospace Industries Ltd. (KAI). The Fair Trade Commission (FTC) authorized the acquisition after Hanwha Systems bought a 3.45 percent share, bringing Hanwha Group's total ownership of KAI to 15.89 percent. This includes the 9.9 percent already held by Hanwha Aerospace. Presently, KAI's biggest shareholder is the Export-Import Bank of Korea, owning 26.41 percent, followed by the National Pension Service with 8.75 percent.
According to the FTC, Hanwha Group's current stake of 15.89 percent is not significant enough to exert substantial control over KAI's overall management. However, the watchdog has stated that they will conduct further scrutiny if Hanwha Group becomes KAI's largest shareholder, or if executives from both companies make up at least a third of KAI's board members.
KAI, South Korea's only aircraft manufacturer, is responsible for the development of the KF-21 advanced fighter jet, the FA-50 light combat aircraft, and their respective trainer variants, along with the Surion and M series.
Written by urgent.news from The Korea Times's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
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