[Company Focus] Hanjin KAL Faces Management Control Uncertainty
As Hoban Group ascends to the position of the largest shareholder of Hanjin KAL, the holding company of Hanjin Group, uncertainty surrounding the direction of management rights in relation to Hanjin Group Chairman Cho Won-tae is growing. With the restructuring of the domestic aviation industry, incl
The Hanjin KAL holding company, part of the Hanjin Group, is facing uncertainty over its management rights due to a recent shift in its largest shareholder. Hoban Group, previously the second-largest shareholder, has now become the largest shareholder after steadily increasing its stake in Hanjin KAL through purchases on the open market and applying for a business combination review with the Fair Trade Commission.
Despite this, Hoban Group insists its stake is a "simple investment" and has not formally declared its intentions to join the management team.
The Korea Development Bank, which holds a 10.58% stake in Hanjin KAL, is also in a pivotal position. As the aviation industry undergoes restructuring, the bank's role in handling its stake has become a significant variable. If the bank sells its shares to Chairman Cho Won-tae, there is a risk of controversy over perceived preferential treatment.
Conversely, giving the shares to Hoban Group could damage the bank's image of neutrality. Therefore, the Korea Development Bank is likely to observe the situation rather than proceeding with an immediate sale, with an open competitive bidding process more likely.
Delta Air Lines, a key ally of Chairman Cho, currently holds a 14.9% stake in Hanjin KAL and is actively supporting the existing management. The recent stake expansion by Hoban Group has significantly increased Delta's investment in Hanjin KAL, making it a crucial variable in future management rights defense structures. The outcome of a management rights dispute will likely be determined by the votes cast at the upcoming general shareholder meeting in March, particularly the positions of Delta Air Lines, the National Pension Service, and other minority shareholders.
Written by urgent.news from BusinessKorea's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
