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Hanwha Solutions. (Photo = Hanwha Solutions) |
[Alpha Biz= Kim Jisun] Samsung Securities on March 27 expressed reservations about Hanwha Solutions’ planned capital increase, citing concerns over both the timing and scale of the fundraising.
In a report, analyst Cho Hyun-ryeol noted that the company announced a large-scale rights offering worth KRW 2.4 trillion, equivalent to approximately 42% of its existing shares outstanding (172 million shares).
“While the company intends to use the proceeds for debt repayment and investments in new products slated for commercialization in three years, the timing and magnitude of the capital raise may be somewhat disappointing for investors,” Cho said.
He added that although the brokerage raised its target price from KRW 34,000 to KRW 42,000—reflecting a delayed earnings contribution from the renewable energy segment, now expected to materialize in 2027 instead of 2026—it downgraded its investment rating to “Hold.”
Cho noted that a future upgrade in the investment rating could be possible if the company delivers meaningful earnings improvements or if industry conditions recover.
Alphabiz Reporter Kim Jisun(stockmk2020@alphabiz.co.kr)
