SEOUL, Sept. 23 (Yonhap) -- Hanwha Solutions Corp., a key energy unit of South Korea's Hanwha Group, said Friday it will split off its retail unit and a part of its advanced materials unit in a bid to bolster its edge in renewable energy sectors.
Under the decision, approved by the board, Hanwha Solutions will carve out Hanwha Galleria -- the department store unit under the chemicals-to-finance conglomerate -- from the energy affiliate beginning in March 2023, Hanwha Solutions said in a release.
Hanwha Solutions will also split off its divisions of automotive components and ethylene-vinyl acetate (EVA) sheet, a plastic widely used for packaging and coating, as a wholly owned subsidiary under its wing.
The Galleria unit will be relisted on the local stock market in March next year. The new advanced materials unit will officially set sail in December.
The decision will be put up for vote at a shareholders meeting in late October.
Once approved by the shareholders, the restructuring will help Hanwha Solutions turn into a company solely engaged in solar panel and chemicals businesses, as it pushes to put its focus on energy and materials areas, it said.
The announcement came after Hanwha recently tapped Kim Dong-kwan, the heir apparent to the business enterprise, as a vice chair to head key affiliates of the conglomerate, including Hanwha Solutions, in a move seen as intended to speed up the leadership transfer.
Hanwha Solutions unveiled earlier this month a plan to invest 761.7 billion won (US$549.6 million) to boost production capacity of its domestic solar panel materials.