Seoul: Hanwha Aerospace Co., South Korea's leading defense systems manufacturer, announced on Thursday that it has halted its review of acquiring the ammunition business of Poongsan Corp.

According to Yonhap News Agency, Hanwha Aerospace disclosed in a regulatory filing that it has been exploring various business opportunities, including the potential acquisition of Poongsan's ammunition division, in order to strengthen its defense capabilities and enhance corporate value. However, the company has decided to cease its review of this particular acquisition.

The announcement follows recent local media reports suggesting that Hanwha was likely to acquire Poongsan's ammunition business. This acquisition was seen as part of Hanwha's efforts to integrate its weapons and munitions operations. Poongsan is a prominent producer of copper alloy and ammunition in South Korea.