Aramco Overseas Company, the largest shareholder of S-Oil, said Thursday it would take over the 32 million shares of S-Oil from Hanjin Group in a move that highlights the firm’s commitment to South Korea.

“This transaction underscores Saudi Aramco’s confidence in the Korean economy and its strategy to enhance its presence in the growing Asian markets and AOC’s commitment to S-Oil growth,” Khalid A. Al-Falih, Saudi Aramco president and CEO, said in a statement.

AOC’s ownership in S-Oil will rise to 63.4 percent from 34.99 percent with the purchase of the 1.98 trillion won ($1.96 billion) worth of stocks.

“We will take this opportunity to maximize our competitiveness and increase our corporate value through active investments for sustainable growth based on healthier financial standing, cementing our foundation for long-term growth,” said S-Oil CEO Nasser Al-Mahasher.

(hnpark@heraldcorp.com)