{
  "id": 18105998,
  "title": "Hoban Pushes Hanjin KAL Control Bid, But Facing Defense Hurdles",
  "url": "https://urgent.news/2026/11/04/hoban-pushes-hanjin-kal-control-bid-but-facing-defense-hurdles",
  "topic": "business",
  "section": "Business",
  "published": "2026-11-04T10:42:51.000Z",
  "source": {
    "name": "BusinessKorea",
    "slug": "businesskorea",
    "url": "https://www.businesskorea.co.kr/news/articleView.html?idxno=280492"
  },
  "original_language": "en",
  "account": "The Hanjin KAL control bid led by the Hoban Group is facing significant challenges, with defense regulations standing as a major hurdle. While the Hoban Group aims to become the largest shareholder and gain control over Hanjin KAL, they must still overcome the defenses put up by Hanjin Group Chairman Cho Won-tae, who is countering with massive share purchases. As of November 4th, the Hoban Group had already acquired more than 20.57% of Hanjin KAL shares, surpassing the combined stake of Chairman Cho and his allies. This business combination was officially reported to the Fair Trade Commission. On the other hand, Chairman Cho has taken steps to fortify his position, signing a block deal for 325,000 shares in November 2nd, investing a total of 37.05 billion won, and increasing his share purchases in August. The Fair Trade Commission is now awaiting the outcome of this business combination. Even with the Hoban Group securing the largest shareholder position, they must still navigate the complex 'defense' regulations, a core business of Hanjin KAL's subsidiary Korean Air. As the largest defense contractor in the country, Korean Air plays a crucial role in manufacturing, repairing, and improving military aircraft and unmanned aerial vehicles. The aerospace division's order backlog is valued at approximately 2.6354 trillion won. To gain control over Korean Air, the Hoban Group must secure permission from the Minister of Trade, Industry and Energy under the Defense Acquisition Program Act. Recent proposals to the National Assembly suggest adding the Minister of National Defense to the list of regulatory entities, further tightening the rules around acquisitions. In addition, the idea of spinning off the defense division separately appears unlikely due to complex procedures such as transferring order contracts and re-evaluating memorandums of understanding for new factory investments. The shareholding battle between the Hoban Group and Hanjin Group is intensifying, and the political and regulatory implications of this takeover make it a hot topic for the remainder of the year.",
  "summary": "The direction of management rights surrounding Hanjin KAL, the holding company of Hanjin Group, is descending into a fog. While Hoban Group is pushing to become the largest shareholder by surpassing Hanjin Group Chairman Cho Won-tae through additional share purchases and has reported the business co",
  "key_points": [
    "Hoban Group aims to control Hanjin KAL, but faces defense hurdles.",
    "Hanjin Group Chairman Cho counters with massive share purchases.",
    "Hoban Group already holds over 20.57% of Hanjin KAL shares."
  ],
  "editors_take": "Hoban Group’s attempt to seize control of Hanjin KAL shifts the battle from a simple shareholding contest to a complex regulatory struggle over the nation's most critical aerospace defense assets.",
  "illustration": null,
  "coverage": {
    "outlets": 1,
    "also_reported_by": []
  },
  "ai_generated": true,
  "disclaimer": "Summaries, key points and the editor’s take are written by software from other outlets’ reporting and may contain errors — always check the linked original."
}