South Korea’s Hanwha Group has secured approval to lift its stake in Austal to 19.9%, becoming the Australian defence shipbuilder’s largest shareholder in a move expected to reshape naval-industry cooperation between Seoul, Canberra and Washington.
Australia’s treasurer Jim Chalmers confirmed the decision on Thursday, following a review by the Foreign Investment Review Board. It follows earlier clearance from the US government, given Austal’s critical role supplying small surface combatants and support ships to the US Navy from its yard in Mobile, Alabama.
Hanwha first acquired 9.9% of Austal in an off-market deal in March, leading to speculation it would then seek to take over the shipbuilder. The fresh approval allows the conglomerate to nearly double its stake, lifting it above Tata Rang Ventures’ 19.28% holding.
