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Hanwha offers $1.7B for Austal US unit
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Hanwha offers $1.7B for Austal US unit

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  • Defence conglomerate Hanwha submitted a conditional offer of up to $1.7 billion for the United States division of Austal.
  • Austal stated its American unit expects a revised $175 million earnings loss alongside the acquisition proposal.
  • The transaction allows the Australian shipbuilder to focus on profitable domestic operations while pending regulatory approvals.

Defence conglomerate Hanwha submitted a $1.7 billion conditional offer to acquire the United States division of Austal (ASX:ASB).

The targeted proposal follows a 2024 attempt by the conglomerate to buy the entire shipbuilder.

Alongside the acquisition news, the company stated its United States business expects a revised earnings loss of $175 million.

The cash and debt-free transaction values the division between US$1.05 billion and US$1.20 billion.

With the transaction now pending multiple regulatory approvals, following the announcement, the Austal share price was up at $3.84.

The South Korean conglomerate already owns a 19.9% stake in the shipbuilder following a December 2025 investment.

The company stated its Australasia operations expect $62 million in earnings despite the proposed American divestment.

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