'Asset Sale Initiation and Friendly Share Acquisition' Speed Battle by Cho Won-tae

Hanjin Group Initiates Selection Process for Idle Asset Sale Underwriter
Foreign Investors Increase Hanjin KAL Purchases This Week... Ally Delta Air Lines Estimated

[Asia Economy Reporter Yu Je-hoon] Cho Won-tae, Chairman of Hanjin Group, has begun a full-scale "speed operation" by starting the sale of idle assets amid the management rights dispute. At the same time, Delta Air Lines, classified as an ally of Chairman Cho, is also pressuring the anti-Cho Won-tae camp on two fronts by continuously purchasing shares of Hanjin KAL.

Hanjin Group announced on the 27th that it recently sent "Request for Proposal (RFP)" documents for sale advisory services to 12 related companies to select a sales advisory firm for idle assets including the Jongno Songhyeon-dong site. The idle assets for sale include ▲the Jongno-gu Songhyeon-dong site in Seoul (36,642㎡) and building (605㎡) ▲shares of Wangsang Leisure Development Co., Ltd., the operator of the marine leisure facility "Wangsang Marina" ▲the Jeju Paradise Hotel site (53,670㎡) and building (12,246㎡), among others.

Hanjin Group plans to receive proposals by the 24th of next month, select candidate firms through evaluation, conduct presentations on the proposals, and finally select the sales advisory firm.

The company explained that the issuance of this RFP is a practical measure following Chairman Cho's decision on the 6th and 7th to sell idle assets to improve the financial structure. When the anti-Cho Won-tae camp criticized the financial improvement plan as lacking sincerity, the company immediately proceeded with selecting a sales advisory firm. Chairman Cho also plans to carefully review the business feasibility of other properties such as the Wilshire Grand Center in Los Angeles (LA), USA, and the Grand Hyatt Hotel in Incheon, and then decide on directions such as continuous development, nurturing, or restructuring.

At the same time, Chairman Cho is accelerating the acquisition of friendly shares in preparation for a "long-term battle." Delta Air Lines, classified as an ally of Chairman Cho, purchased an additional 1% stake in Hanjin KAL last week, increasing its shareholding from 10.00% to 11.00%. This week, foreigners also purchased 112,668 shares on the 25th and 457,637 shares on the 26th through Goldman Sachs channels, and as of 10 a.m. today, about 300,000 shares were additionally purchased.

In the securities industry, since Delta Air Lines has previously secured shares of Hanjin KAL through Goldman Sachs, it is observed that Delta is acquiring additional shares this time as well. An industry insider said, "Since the situation is on a knife-edge, Delta Air Lines is expected to continue purchasing additional shares until it reaches the 15% threshold subject to corporate merger notification," adding, "The anti-Cho Won-tae camp will likely resume movements soon."

This content was produced with the assistance of AI translation services.