Seoul: Hanwha Aerospace Co., a South Korean defense industry company, announced that it has submitted a revised share sale plan aimed at raising 2.3 trillion won (US$1.56 billion), following a request from the financial regulator.
According to Yonhap News Agency, the company initially intended to generate 3.6 trillion won in capital through a stock sale. However, the Financial Supervisory Service (FSS) asked for a revised plan, citing a lack of sufficient information for investors.
To address the shortfall of 1.3 trillion won, Hanwha Aerospace plans to issue new shares to three affiliates of Hanwha Group-Hanwha Energy, Hanwha Impact Partners Inc., and Hanwha Energy Corporation Singapore Pte., as stated in a regulatory filing.
The FSS highlighted that the previous rights issue plan presented by Hanwha Aerospace was lacking in critical areas. These included the rationale behind the rights offering, communication with shareholders, and the intended use of the proceeds.