Investor deposits for IPO subscriptions in S. Korea exceed W150tr

South Korean investors have poured over 150 trillion won ($126.71 billion) into initial public offerings this year, 1.5 times more than last year, reflecting investors’ thirst for profit at a time of ultralow interest rates and high liquidity in the market, industry sources said Monday. Investor deposits for IPO subscription in the local market came to 150.9 trillion won from January to Thursday. In contrast, the figure for the whole of last year stood at 99.4 trillion won. Despite the

MarketSept. 14, 2020

[Contribution] What happens when the US Dollar weakens?

The Korea Herald is running a regular contribution series written by senior investment strategists at Standard Chartered Group Wealth Management. -- Ed. The US dollar has started to decline in value over the past few months, with the benchmark US dollar Index down about 9 percent since its March 2020 peak. This naturally raises questions on whether this US dollar weakness can extend, and whether this has broader implications for investors. We are of the view that there is room for the doll

MarketSept. 14, 2020

Export support for SMEs to center on online realm

South Korea will strengthen support for promising startups and small and medium-sized companies to export their products online in the global market, officials said Monday. The Ministry of SMEs and Startups announced the “future tasks of supporting exports of small and medium-sized enterprises using online trends” at a ministerial meeting. “We will strengthen support for online exports, which are showing an upward trend despite difficult external conditions caused by COVID-1

IndustrySept. 14, 2020

Card issuers fined for leaking customer data

Korea’s three leading credit card companies -- Kookmin Card, Lotte Card and NongHyup Card -- have been slapped with fines for mishandling customer data. The Supreme Court on Monday confirmed a lower court’s verdict to fine the three card issuers between 10 million won ($8,450) and 15 million won for violating the Personal Information Protection Act. The companies were accused of mishandling customer data as they had let subcontractors freely gain access to customers’ infor

MarketSept. 14, 2020

Seoul seeks trade deal with Uzbekistan, strives to diversify export channels

South Korea will enter into talks with Uzbekistan by the end of the year, seeking to sign a bilateral trade deal, Deputy Prime Minister and Finance Minister Hong Nam-ki said Monday. It will also establish a platform to help local SMEs promote and sell their products through contactless global selling channels such as Amazon. “Our economy continues to face difficulties, with exports logging negative growth for six months straight,” Hong said in a meeting of economy-related minist

EconomySept. 14, 2020

Pan Ocean buys into US grain terminal

South Korea's top bulk carrier Pan Ocean Co. said Monday it has completed a takeover of a 36.25 percent stake in an export grain terminal on the US northwest coast in an effort to expand its presence in the global market. Pan Ocean said it has purchased the interest from Japan's Itochu, becoming the second-largest stakeholder in the Export Grain Terminal (EGT) at the port of Longview in the state of Washington. Pan Ocean didn't disclose the financial terms of the deal. US agricultural co

IndustrySept. 14, 2020

Credit card firms' H1 net up 19% on increased profit from loans

South Korea's credit card companies saw their combined earnings rise in the first half of the year from a year earlier due to increased profits from card loans, data showed Monday. The combined net profit of eight card issuers, including Shinhan Card Co., Samsung Card Co. and KB Kookmin Card Co., came to 1.11 trillion won ($937 million) in the January-June period, up 18.9 percent from a year earlier, according to the data released by the Financial Supervisory Service (FSS). The hike in profit

EconomySept. 14, 2020

Daily money transfers via mobile payment apps up 20% in H1 amid pandemic

The value of daily money transfers via mobile payment apps in South Korea rose 20.3 percent in the first half from six months earlier as online financial transactions increased amid the new coronavirus outbreak, central bank data showed Monday. The value of daily money transfers via smartphone apps, such as Toss, Naver Pay and KakaoPay, stood at 322.6 billion won ($272.3 million) in the January-June period, compared with 268.2 billion won in the second half of 2019, according to the data by th

EconomySept. 14, 2020

Samsung to step up signage biz overseas with content producer

Samsung Electronics on Monday announced its partnership with d’strict, a local content producer for digital media, to reinforce its smart signage business by providing digital content tailored to customers. The content company created massive sea waves on the 1,620 square-meter Samsung LED display on the façade of SM Town’s building in Samseong-dong in southern Seoul in May. The two firms plan to unveil their collaborations at global landmarks like Times Square in New Yo

TechnologySept. 14, 2020

S. Korean trade minister to head to Washington to drum up support for her bid to become WTO chief

South Korea's trade minister plans to visit the United States this week to win support for her bid to become the new head of the World Trade Organization (WTO). Trade Minister Yoo Myung-hee will depart for her four-day trip to Washington on Tuesday, according to the Ministry of Trade, Industry and Energy, where she plans to meet US government and business officials. During the trip, Yoo is also expected to discuss a wide array of issues related to the economic ties between South Korea and the

EconomySept. 14, 2020

[Monitor] S. Korea’s exports fall 0.2% in September

South Korea’s exports fell 0.2 percent on-year in the first 10 days of September according to Korea Customs Service’s report Sunday. The nation’s outbound shipments during the 10-day period marked $14.9 billion, down by 0.2 percent on-year from $15 billion in 2019. The daily average exports during the same period slipped by 11.9 percent.  The imports in early September decreased by 7.6 percent to reach at $13 billion, from $14.1 billion last year.  The economic

IndustrySept. 14, 2020

HDC, Asiana shares fall after deal collapses

Shares in HDC Hyundai Development Co. and Asiana Airlines Inc. fell Monday after the property developer's planned acquisition of the debt-ridden carrier collapsed last week amid the COVID-19 pandemic. HDC fell 0.2 percent to 24,700 won ($21) and Asiana plunged 2.5 percent to 3,965 won, far underperforming the broader KOSPI's 1.3 percent gain. But Asiana's parent Kumho Industrial Co. rose 1.2 percent to end at 6,820 won as the deal's rupture was already factored in the stock price. "HD

EconomySept. 14, 2020

[Graphic News] Major firms‘ Q2 overseas sales dip 20% amid virus

　Major South Korean companies saw their overseas sales tumble nearly 20 percent in second quarter of the year during the coronavirus pandemic, data showed. 　Combined overseas sales of the country’s top 100 firms by revenue totaled 146.3 trillion won ($123 billion) in the April-June period, down 19.8 percent from a year earlier, according to the data from the Federation of Korean Industries. 　The tumble marks a sharp turnaround from the first quarter, when their sales edged up 0.65 pe

BusinessSept. 14, 2020

IPOs in S. Korea scoop up investor money this year

South Korean investors have poured a huge amount of money into initial public offerings (IPO) this year amid ample liquidity, industry sources said Monday. Investor deposits for IPO subscription in Asia's fourth-largest economy came to 150.9 trillion won ($134 billion) between January and last week, about 1.5 times the full-year figure for 2019. A total of 45 companies have gone public this year, compared with 99 issues last year. This year's amount is also well over the 85 trillion won in

EconomySept. 14, 2020

S. Korea seeks to begin free trade talks with Uzbekistan by year-end

SEJONG -- South Korea seeks to launch formal negotiations with Uzbekistan by the end of this year to sign a bilateral free trade deal, Finance Minister Hong Nam-ki said Monday. South Korea will complete domestic procedures this month to begin free trade talks with Uzbekistan, Hong told a meeting with economy-related ministers. Hong said Uzbekistan is one of the important partners for South Korea's New Northern Policy aimed at improving the nation's partnerships with countries located north of

EconomySept. 14, 2020

Seoul stocks open higher on tech gains, eased virus curbs

South Korean shares opened higher Monday, buoyed by tech gains and eased social distancing measures. The Korea Composite Stock Price Index (KOSPI) rose 17.38 points, or 0.73 percent, to 2,414.07 in the first 15 minutes of trading. The index rose above the 2,400-point mark as chipmakers continued to gain despite lingering valuation pressure on tech heavyweights in major economies. Investor sentiment also improved as the South Korean government eased the social distancing level to Level 2 in

MarketSept. 14, 2020

Samsung Electro-Mechanics develops world’s smallest power inductor

Samsung Electro-Mechanics said Sunday it has developed the world’s smallest power inductor. According to the Korean electronic components maker, the new power inductor is approximately 50 percent smaller than the industry’s previously smallest product, with a width of 0.8 millimeter and a length of 0.4 mm, a significant development from a width of 12 mm and length of 10 mm. The thickness of the latest product measures 0.65 mm. A power inductor is a key electronic component insi

IndustrySept. 13, 2020

OB extends payment deadlines to help wholesalers amid pandemic

Oriental Brewery Company led by CEO Ben Verhaert has extended payment deadlines to help wholesalers and small business owners affected by a recent spike in coronavirus cases in Korea. Earlier this month, the largest beer maker in South Korea, which is owned by AB InBev, announced it has allowed alcohol wholesalers across the country to pay for its products at a later date or pay in installments as part of its efforts to ease the burden on businesses that have been battered by stricter social di

ConsumerSept. 13, 2020

LIG Nex1, Good Will Store share hope through COVID-19

LIG Nex1, an aerospace and defense company, donated some 1,000 everyday essential items to a Good Will Store in Daejeon, in hopes of softening the blow of the COVID-19 pandemic for disabled people. Full proceeds from the sales of these donated goods will be used to bolster the employment security of the disabled workers at Good Will Stores. LIG Nex1 said that this campaign attempts to foster responsible corporate culture based on voluntary participation from its employees. In other forms o

IndustrySept. 13, 2020

[Herald Interview] ‘Masks can become new type of wearable device’

In the future, people could be shopping for masks at electronics retailers instead of at pharmacies. Those masks would be capable of monitoring wearers’ breathing patterns, captured particles and gas, and be able to connect with other devices like smartphones. This is not just a dream for Beelee Chua, a professor at the electric engineering school of Korea University. In 2018, professor Chua’s research team, in collaboration with Ewha Womans University, developed a micro ionizer

TechnologySept. 13, 2020