Latest news with #HanwhaGroup
Korea Herald
4 days ago
- Business
- Korea Herald
Korean defense stocks jump on Israel-Iran conflict
Shares of South Korean arms makers rose sharply after Israel's attack on Iran, buoyed by the outlook that their exports could increase, even propelling the benchmark stock index Kospi to reach its over three-year high. Hanwha Systems, a major defense affiliate of Hanwha Group, closed daytime trading at 64,200 won ($47), up 18 percent from the previous session. Earlier in the day, the stock surged as high as 65,000 won, hitting the highest level since its listing on the Kospi in November 2019. Other major defense stocks also showed strong performances, with LIG Nex1 rising 5.32 percent, Hyundai Rotem gaining 6.32 percent and Hanwha Aerospace climbing 2.65 percent. Shares of each of the companies posted a fresh high. Amid escalating geopolitical tensions in the Middle East, expectations are rising for increased exports by Korean defense companies, partly due to their rivalry with Israeli firms in the arms sector. Israel may impose restrictions on defense exports to maintain its military capabilities, potentially allowing Korean firms to emerge as alternative suppliers. "In the past, Israel suspended a shipment of Merkava tanks to Morocco during a conflict with Hamas militants. With Israel likely to prioritize securing its domestic stock of air defense systems and strategic assets, a similar scenario could unfold. This could present short-term export opportunities for Korean defense companies," said Jung Dong-ik, an analyst at KB Securities. The buoyant defense shares even lifted the Kospi, outweighing concerns that Middle East tensions could pressure the Korean stock market with geopolitical risks. After opening at 2,903.50, the Kospi dropped as low as 2,886.13 in the early hours, but soon turned to a gain and recovered by closing at 2,946.66, up 52.04 points, or 1.8 percent from the previous session. It was the first time the Kospi surpassed the 2,940-point threshold as of daytime closing since January 2022. Retail investors and institutions were the net buyers, scooping up shares worth 45.5 billion won and 252.4 billion won, respectively, while foreign investors dumped 322.4 billion won on the market. The government held a joint emergency meeting, agreeing to maintain a 24-hour monitoring system on the financial markets. "If market volatility becomes excessive and diverges from the fundamentals of the Korean economy, the government will take swift and bold action under its contingency plans,' a statement released by the Finance Ministry said.
Korea Herald
5 days ago
- Business
- Korea Herald
Defense stocks soar on Israel-Iran tension
Shares of South Korean arms makers rose sharply after Israel's attack on Iran, buoyed by the outlook that their exports could increase. Hanwha Systems, a major defense affiliate of Hanwha Group, traded at 63,800 won ($47) as of 2 p.m., up 17.46 percent from the previous session. Earlier in the day, the stock surged as high as 65,000 won, hitting the highest level since its listing on the Kospi in November 2019. Other major defense stocks also showed strong performances, with LIG Nex1 rising 4.75 percent, Hyundai Rotem gaining 5.3 percent, and Hanwha Aerospace climbing 2.33 percent as of 2 p.m. Shares of each of the companies posted a fresh high during intraday trading. Amid escalating geopolitical tensions in the Middle East, expectations are rising for increased exports by Korean defense companies partly due to their rivalry with Israeli firms in the arms sector. Israel may impose restrictions on defense exports to maintain its military capabilities, potentially allowing Korean firms to emerge as alternative suppliers. "In the past, Israel suspended a shipment of Merkava tanks to Morocco during a conflict with Hamas militants. With Israel likely to prioritize securing its domestic stock of air defense systems and strategic assets, a similar scenario could unfold. This could present short-term export opportunities for Korean defense companies," said Jung Dong-ik, an analyst at KB Securities. Despite concerns that Middle East tensions could pressure on the Korean stock market due to geopolitical risks to the country's export-dependent economy, the benchmark Kospi had remained largely flat on Monday as of press time. After opening at 2,903.50, it dropped as low as 2,886.13 in the early hours, but recovered to an intraday high of 2,926.89, up 1.11 percent on-session as of 2 p.m. Retail investors were the only net buyers, scooping up shares worth 224.6 billion won, while foreign investors and institutions dumped 224 billion won and 7.3 billion won, respectively. In the morning, the government held a joint emergency meeting, agreeing to maintain a 24-hour monitoring system on the financial markets. "If market volatility becomes excessive and diverges from the fundamentals of the Korean economy, the government will take swift and bold action under its contingency plans,' a statement released by the Finance Ministry said.
Korea Herald
10-06-2025
- Business
- Korea Herald
Hanwha wins US approval to acquire full stake in Austal
Hanwha Group said Tuesday it has received approval from the US government to acquire up to 100 percent of shares in Austal Limited, a global maritime defense company headquartered in Australia. The clearance was granted on Friday by the Committee on Foreign Investment in the United States, the US agency responsible for reviewing the national security implications of foreign investments. Although Hanwha initially sought to increase its stake in Austal from 9.9 percent to 19.9 percent, the US government authorized the group to acquire up to full ownership. CFIUS stated there were "no unresolved national security concerns" regarding the proposed investment. Hanwha's acquisition aligns with its broader plan to integrate its advanced shipbuilding technologies and defense capabilities with Austal's global operations. 'This approval marks an important milestone that reflects the trust and support we've earned from the US government,' said Michael Coulter, CEO of Hanwha Global Defense. 'It recognizes our technological capabilities and performance in collaboration with the US and its allies. By combining Korean shipbuilding expertise with the US defense industry, we aim to strengthen the competitiveness of American shipbuilding.' The company is also awaiting regulatory approval from Australia's Foreign Investment Review Board to increase its stake in Austal. If successful, Hanwha aims to expand joint projects in both the US and Australian defense markets while contributing to the long-term competitiveness of the global shipbuilding industry.
![[Photo News] Shipbuilding tycoons at MADEX 2025](/_next/image?url=https%3A%2F%2Fwimg.heraldcorp.com%2Fnews%2Fcms%2F2025%2F05%2F28%2Fnews-p.v1.20250528.51896b8a48ca480bbffd6ffb60a4ab42_T1.jpg&w=3840&q=100)
Korea Herald
28-05-2025
- Business
- Korea Herald
[Photo News] Shipbuilding tycoons at MADEX 2025
HD Hyundai Executive Vice Chairman Chung Ki-sun (third from right) takes a selfie with new employees of HD Hyundai Heavy Industries' special ship buisness unit at the International Maritime Defense Industry Exhibition -- MADEX -- 2025 in Busan on Wednesday. Chung presented the company's vision to build the best warships that back up the global maritime security during a reception ceremony with representatives from several countries. (HD Hyundai) Hanwha Group Vice Chairman Kim Dong-kwan (second from left) visits the exhibition booth of Hanwha's three affiliates -- Hanwha Ocean, Hanwha Aerospace and Hanwha Systems -- at MADEX 2025 on Wednesday. During a reception with global representatives, Kim highlighted the defense conglomerate's efforts to help the Korean economy, saying the company continues to embody the principles of doing business as a corporation to contribute to the state and humanity. (Hanwha Group)
Korea Herald
23-05-2025
- Business
- Korea Herald
Hanwha to showcase submarine, artillery systems at CANSEC 2025 in Canada
South Korea's Hanwha Group said Friday it will participate in CANSEC 2025, Canada's largest defense trade show, to showcase a comprehensive suite of advanced defense solutions aimed at strengthening Canada's sovereign capabilities. At the two-day exhibition to open in Ottawa on Wednesday, Hanwha plans to showcase its cutting-edge land and maritime systems, including the KSS-III submarine and the K9 self-propelled howitzer, as part of efforts to support Canada's defense modernization initiatives. As part of its bid for the Canadian Patrol Submarine Project, Hanwha Ocean has proposed the KSS-III submarine, equipped with both lithium-ion batteries and an air-independent propulsion system. The KSS-III can remain submerged for over three weeks and has an estimated range exceeding 7,000 nautical miles. If the contract is awarded in 2026, Hanwha aims to deliver the first batch of submarines by 2032 and the remainder by 2035. The company also plans to establish a local In-Service Support center in Canada, providing long-term maintenance and upgrades. Hanwha Aerospace will also highlight its K9 155-millimeter self-propelled howitzer, currently in service in 10 countries. The system, which offers a 40-kilometer range and a maximum firing rate of eight rounds per minute, is being proposed for Canada's Indirect Fires Modernization program. "Hanwha is deeply committed to Canada's defense, offering global-leading technology with local production and support," said Michael Coulter, chief executive officer of Hanwha Global Defence. "Our 'Made with Canada, For Canada' approach is designed to generate jobs, enhance defense readiness and reinforce long-term strategic cooperation between the two countries." (Yonhap)
