[Alpha Biz= Paul Lee] HMM announced on August 18 that it will conduct a public tender offer worth up to ₩2.2 trillion to repurchase its own shares, with all repurchased shares scheduled for cancellation next month.



The tender offer will run from August 18 to September 12 at a purchase price of ₩26,200 per share. This represents a 18.6% premium over HMM’s closing price of ₩22,100 on August 14. The company aims to buy back 81.8 million shares, equivalent to 7.98% of its outstanding stock. If the total number of shares tendered falls short, HMM will purchase all; if the number exceeds the target, shares will be bought on a pro-rata basis. All repurchased shares will be canceled on September 24. KB Securities is managing the tender.



The maximum capital required for the buyback is ₩2.14 trillion. Earlier this year, HMM announced a shareholder return plan of more than ₩2.5 trillion within 12 months. Of this, ₩528.6 billion was paid as dividends, and the remaining funds will be used for the buyback.



Major shareholders—the Korea Development Bank (KDB) and the Korea Ocean Business Corporation (KOBC)—plan to tender all of their holdings. KDB currently owns 369.2 million shares (36.0%) and KOBC holds 365.6 million shares (35.7%). Given their participation, retail investors who tender their shares may not be able to sell their full desired amounts, as allocations will be made proportionally if oversubscribed.

 

 

 

[ⓒ 알파경제. 무단전재-재배포 금지]