Key facts
- Hoban Construction and related parties hold 20.69% of Hanjin KAL, Hanjin KAL said in a regulatory filing.
- Cho Won-tae and related parties hold 20.58% of Hanjin KAL, according to the filing.
- The 0.11 percentage point gap leaves open another change in the largest shareholder, Hanjin KAL said.
- Cho agreed on November 2 to buy 325,000 Hanjin KAL shares for 37.05 billion won.
- Hoban first bought a 13.97% Hanjin KAL stake from KCGI in 2022 for about 564 billion won.
Hoban Construction Co. and related parties became the largest shareholder of Hanjin KAL, the holding company of Korean Air Co., Hanjin KAL said in a regulatory filing on November 4. The combined stake of Hoban Construction and related parties rose to 20.69%, above the 20.58% held by Hanjin Group Chairman Cho Won-tae and related parties.
Hanjin KAL said the 0.11 percentage point margin leaves open the possibility of another change in the largest shareholder if Cho and related parties acquire more shares. Cho signed an agreement on November 2 to acquire an additional 325,000 Hanjin KAL shares for 37.05 billion won, or $27.7 million.
Hoban has recently bought additional Hanjin KAL shares on the open market and filed a business combination notification with the Fair Trade Commission in October, which the report said raised speculation over a potential battle for control of South Korea's largest aviation group. Hoban first acquired a 13.97% stake in Hanjin KAL from activist private equity firm KCGI in 2022 for approximately 564 billion won and has since expanded its holdings through affiliates, including Hoban Hotels & Resorts. KCGI had previously challenged the Cho family's control of Hanjin Group.