Hanjin chairman’s death sparks takeover speculation

Hanjin chairman’s death sparks takeover speculation    The death of Cho Soo-ho, the chairman of Hanjin Shipping, is sparking speculation that a takeover battle for Korea’s largest shipping company may ensue.
   Choo Soo-ho, 52, died over the weekend in Seoul after what is described in the Korean press as a prolonged illness.
   Price of the company’s shares surged 8 percent Monday amid speculation of a battle for control of the company. Hanjin, with annual sales of about $5 billion, is the world’s eighth-largest containership carrier according to ASX Marine, and is also a major operator of tankers, bulk vessels and LNG carriers.
   Cho Soo-ho was the third son of the late founder of the Hanjin Group, Cho Choong-hoon, and he was the younger brother of Cho Yang-ho, chairman of Korean Air and current head of the Hanjin Group.
   Israeli billionaire Sammy Ofer reportedly increased his stake in Hanjin to about 12.8 percent earlier this year. Ofer is also a major shareholder in Zim, the Israel-based container carrier.
   The Korea Times also quoted “market watchers” as saying Cho Yang-ho “has been seeking to control Hanjin Shipping through Korean Air’s stake holdings, while the deceased Cho had attempted to transfer part or all of his stock holdings to his wife, who is a niece of Lotte Group Chairman Shin Kyuk-ho.”
   Cho is survived by his wife and two daughters.
   A graduate of the University of Southern California, Cho joined the company in 1985 and began his tenure as president in 1994, and became chairman in 2003.