Corporate Logo(source: hanwhaaerospace.com)
Hanwha Aerospace(012450), which had sharply fallen due to a large-scale capital increase, has successfully rebounded after four days.
As of 9:52 AM on the 24th, Hanwha Aerospace was trading at 671,000 won, up 6% from the previous session.
On the 20th, Hanwha Aerospace announced a capital increase worth 3.6 trillion won to secure funding for future growth initiatives. Following this announcement, the stock price plummeted by more than 13% on the 21st.
Choi Jeong-hwan, an analyst at LS Securities, commented on the capital increase, stating, "While the investment was necessary, it is disappointing that the company chose to raise funds through a capital increase rather than internal cash flow, liquidation of liquid assets, or bond issuance." He further explained, "The cash flow of Hanwha Aerospace could not keep up with the rapidly changing defense industry environment following the acquisitions of Hanwha Ocean and Dyna-Mac."
He added, "Although the increase in the number of shares will inevitably dilute shareholder value in the short term, the uncertainty over whether the funds raised will translate into actual performance remains unresolved. However, the purpose of the capital increase itself is aligned with the right direction."
*[KOSPI]Hanwha Aerospace(012450) engages in the production and sales of aircraft, gas turbine engines, artillery systems, and armored vehicles domestically and internationally. Market capitalization is 28 trillion 625 billion won(as of March 21, 2025, closing price).
Corporate Logo(source: hanwhaaerospace.com)
Hanwha Aerospace(012450), which had sharply fallen due to a large-scale capital increase, has successfully rebounded after four days.
As of 9:52 AM on the 24th, Hanwha Aerospace was trading at 671,000 won, up 6% from the previous session.
On the 20th, Hanwha Aerospace announced a capital increase worth 3.6 trillion won to secure funding for future growth initiatives. Following this announcement, the stock price plummeted by more than 13% on the 21st.
Choi Jeong-hwan, an analyst at LS Securities, commented on the capital increase, stating, "While the investment was necessary, it is disappointing that the company chose to raise funds through a capital increase rather than internal cash flow, liquidation of liquid assets, or bond issuance." He further explained, "The cash flow of Hanwha Aerospace could not keep up with the rapidly changing defense industry environment following the acquisitions of Hanwha Ocean and Dyna-Mac."
He added, "Although the increase in the number of shares will inevitably dilute shareholder value in the short term, the uncertainty over whether the funds raised will translate into actual performance remains unresolved. However, the purpose of the capital increase itself is aligned with the right direction."
*[KOSPI]Hanwha Aerospace(012450) engages in the production and sales of aircraft, gas turbine engines, artillery systems, and armored vehicles domestically and internationally. Market capitalization is 28 trillion 625 billion won(as of March 21, 2025, closing price).