Hanwha Galleria Shows Strong Performance on First Day of Listing... Strengthening Competitiveness

Closed up 2.40% from Opening Price
Strengthening Core Business Competitiveness and Expanding Group Synergies
Focus on Securing New Premium Content

Hanwha Galleria closed strong on its first day of listing after a spin-off. After standing on its own, Hanwha Galleria plans to strengthen its core competitiveness as a premium department store while also focusing on synergy with the group and expanding new businesses.

According to the Korea Exchange on the 1st, Hanwha Galleria closed at 2,130 KRW, up 50 KRW (2.40%) from the opening price of 2,080 KRW on the 31st, its first day of listing after the spin-off. Although it showed a decline of more than 20% in the early session and fluctuated like a rollercoaster, rising up to 24.41% during the day, it ended the session with a slight gain.

Hanwha Galleria was a 100% subsidiary of Hanwha Solutions, merged into Hanwha Solutions in 2021, and then spun off again after two years. This spin-off and listing signaled the succession of Kim Dong-seon, the third son of Hanwha Group Chairman Kim Seung-yeon and head of Hanwha Galleria’s Strategy Headquarters, to the group’s distribution, hotel, and resort businesses. Having secured a foundation for autonomous management, Hanwha Galleria plans to focus on strengthening its core business competitiveness, expanding group synergy, and securing new premium content (new business) this year.

Kim Dong-seon, Head of Strategy at Hanwha Galleria (right), and William Pitcher, Executive Vice President of Five Guys International, are posing for a commemorative photo after signing an agreement to promote Five Guys' domestic business at The Plaza in Seoul last October.
[Photo by Hanwha Galleria].

The core department store business will reinforce a ‘premiumization strategy’ centered on luxury brands. Galleria’s luxury hall will expand the entry of luxury brands such as Chanel in the shoe zone during the first half of this year. Timeworld opened ‘Luxury Men’s,’ a luxury men’s specialty store on one floor this month, completing a luxury lineup that connects the basement first floor men’s luxury hall, first floor luxury boutiques and high jewelry, and second floor women’s luxury hall. Gwanggyo also strengthened luxury men’s and watch brands and expanded premium home appliance stores.

Hanwha Group also plans to actively participate in complex development projects it leads. In complex development projects that link facilities for culture, leisure, business, commerce, and accommodation, Hanwha Galleria plans to develop and operate premium commercial complexes by utilizing brand sourcing capabilities and VIP strategies. To this end, Hanwha Galleria’s business objectives now include real estate development, sales, purchase, leasing, operation, and management businesses.

Hanwha Galleria is also making a full-scale entry into new businesses. The famous American hamburger brand Five Guys, led and attracted by Head Kim, will open its first store in Korea in late June in the heart of Gangnam-daero, Gangnam-gu, Seoul. Head Kim has been personally involved from brand review to contract signing and is preparing the first store opening with great affection. The eco-friendly purebred Iberico business is also a new business led by Head Kim. Premium Iberico produced at Hanwha’s directly managed farm in Spain will be commercialized in various ways, starting with Chuseok gift sets in the second half of this year. The company also plans to expand additional new businesses outside of distribution this year.