[Alpha Biz= Paul Lee] SEOUL – Semiconductor back-end processing firm Hanamicron announced on July 29 that it is withdrawing its planned spin-off, citing shareholder concerns and legal obstacles.
The company disclosed in a regulatory filing that it has canceled the board-approved split plan from January, which aimed to separate its semiconductor packaging and testing business into a new entity, while converting the remaining parent company into a holding firm named Hanamicron Holdings.
A Hanamicron spokesperson explained: “Throughout the process, multiple stakeholders — including minority shareholders — raised concerns about the spin-off, holding company transition, and potential harm to shareholder value. In addition, a court injunction on July 28 suspending the validity of the shareholders’ meeting has made it difficult to proceed for an extended period. Considering the best interests of the company and its shareholders, we decided to scrap the plan and all related procedures.”
The restructuring plan, unveiled in January, had faced persistent criticism that it was designed primarily to consolidate the controlling shareholder’s power through dual listings, rather than boost shareholder value.
Although the proposal was approved at an extraordinary shareholders’ meeting on July 16, controversy erupted after it was revealed that over 1,400 proxy forms submitted for the vote lacked required ID copies, raising questions over procedural legitimacy.
Hanamicron stated it will refocus on strengthening operations under the current structure while addressing shareholder concerns going forward.
Alphabiz Reporter Paul Lee(hoondork1977@alphabiz.co.kr)
