Hanwha Energy to Absorb Parent Company H Solution in Merger... "Enhancing Management Efficiency"

[Asia Economy Reporter Park Ji-hwan] Hanwha Energy announced on the 11th that it will absorb and merge its parent company H Solutions, which owns 100% of its shares.

Hanwha Energy and H Solutions each held board meetings on the same day and announced the decision for an absorption merger in which Hanwha Energy will succeed all assets and liabilities of H Solutions. The merger date between the two companies is October 1.

Hanwha Energy explained, "Through this merger, we plan to improve overlapping governance structures and simplify the decision-making structure, thereby enhancing management efficiency and transparency by reducing costs caused by duplicated management." Without any change in the existing major shareholder's stake ratio, the investment division (H Solutions) and the business division (Hanwha Energy) will be integrated to simplify and transparently improve the governance structure. It is also expected that Hanwha Energy's financial stability indicators, such as asset increase and debt ratio decrease, will improve.

Hanwha Energy plans to further strengthen ESG management by improving governance and financial structure through the merger with H Solutions.

Hanwha Energy was the first unlisted company within the Hanwha Group, excluding financial companies, to introduce an outside director system and actively established an ESG management system by creating an internal transaction committee. H Solutions was established in 2017 by a physical division of Hanwha S&C and is the parent company that owns 100% of Hanwha Energy's shares.

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