[Edaily Reporter Shin Su-jeong] BlackRock, the world’s largest asset manager, has increased its stake in #KT&G to around 6%. Following the U.S.-based Capital Group, global asset managers have continued to increase their stakes, pushing KT&G’s foreign ownership ratio above 51%.

According to the electronic disclosure system on the 11th, BlackRock disclosed that it holds a 6.15% stake in KT&G for purely investment purposes. After securing a 5.01% stake in KT&G at the end of January, BlackRock acquired an additional 467,350 shares in about four months. As a result, its stake increased by 1.14 percentage points.

Previously, on the 9th, Capital Group, a major U.S. asset manager, increased its stake in KT&G to 7.21%. As buying momentum from global asset managers continued, KT&G’s foreign ownership ratio reached 51.24% as of the 10th.

KT&G believes that expectations of improved overseas business performance and expanded shareholder returns have influenced the increase in foreign investor holdings. KT&G President Bang Kyung-man and other top executives are continuing to engage with global investors through overseas investor roadshows (NDRs).

In the first quarter of this year, KT&G reported consolidated revenue of 1.7036 trillion won and operating profit of 364.5 billion won. These figures represent increases of 14.3% and 27.6%, respectively, compared to the same period last year. Driven by strategic price hikes, the overseas cigarette business saw revenue and operating profit rise by 24.6% and 56.1%, respectively.

KT&G plans to announce a new shareholder return policy in the second half of the year, including increased dividends. The company intends to enhance its corporate value based on the improving performance of its overseas cigarette business.

A KT&G official stated, “The increase in shareholdings by global asset management firms has served as an opportunity to confirm the capital market’s confidence in the company’s implementation of its mid- to long-term vision and future growth potential.” The official added, “Going forward, we will remain committed to enhancing corporate value through structural profit growth in core businesses, such as the overseas cigarette business, and by providing shareholder returns at the highest level in Korea.”