Hansae Yes24 Holdings launches tender offer to up stake in Hansae

Hansae Yes24 Holdings Co. logo [Courtesy of Hansae Yes24 Holdings]

Hansae Yes24 Holdings Co., the largest shareholder of Korean apparel manufacturer Hansae Co. and Yes24 online bookstore, announced on Tuesday that it will conduct a tender offer to secure an 8.04 percent stake in Hansae in order to stabilize management control.

The tender offer will run from April 11 to May 2 at a price of 18,650 won ($14.15) per share and the target amount of some 3.21 million shares.

Hansae Yes24 Holdings and Chairman Kim Dong-nyung already control 56.64 percent of Hansae as of Monday. If the target amount is fully obtained through the tender offer, their control will increase to 64.68 percent.

Hansae is an original equipment manufacturer that produces clothing for international brands such as H&M, Zara, Gap and Nike.

If the number of shares in the tender offer falls short of the target amount, all shares will be purchased, and if it exceeds the target, shares will be purchased on a pro rata basis for each applicant in cash.

On Tuesday morning at 10:00 am, Hansae’s stock price surged by 10.55 percent to trade at 17,920 won on the news.