02 027390.KS Hanwha Galleria Corp. (한화갤러리아) Loading... : Investor Sentiment and Bull/Bear Views

Hanwha Group's plan to split Hanwha Corp into two holding companies, with Hanwha Corp retaining 76.3% and the new entity 23.7%, is viewed as pre-succession work and a way to reduce the conglomerate discount. Hanwha Corp's stake value is about 19.4 trillion won versus a 6.8 trillion won market cap, and the company announced a 5.9% common-share buyback plus a 25% higher dividend, strengthening shareholder-return appeal; the news lifted Hanwha Corp and Hanwha Galleria.

Hanwha announced a personnel split that the speaker sees as a way to strengthen control without diluting shareholder value, sharpen business strategies, and prepare for Hanwha Energy's IPO. The company also announced share cancellation, and the market has responded positively, with Hanwha Galleria hitting upper limits. The speaker interprets the restructuring as shareholder-friendly and supportive for Hanwha group equities.

Hanwha's spin-off aims to reduce conglomerate discount, separate defense/shipbuilding/finance from lifestyle assets, and is accompanied by full treasury-share cancellation and preferred-share buyback/cancellation, boosting shareholder value.

Hanwha Group is spinning off its non-core retail and leisure businesses, including Hanwha Galleria and Hanwha Resort, to reduce the conglomerate discount. Hanwha Corporation trades at a 63% discount to NAV and below 0.4x PBR, and the group is simultaneously announcing shareholder-return measures: full cancellation of treasury shares, a minimum dividend, and buyback/cancellation of all preferred shares. This should narrow the holding-company discount and has already lifted Hanwha Corporation and Hanwha Galleria shares.