Korea Exchange seeks cross-listing with Hong Kong Exchanges

[THE INVESTOR] The Korea Exchange has signed a letter of intent with Hong Kong bourse operator, the Hong Kong Exchanges and Clearing, to cross-list their stocks. Under the deal, futures on the Mini KOSPI 200 will be available in Hong Kong while futures on the H-shares index will become listed on the local bourse. If successful, the Korea Exchange will become the first foreign country to list futures on the H-share index. H-Shares, indicating shares of companies incorporated in mainland China tha

June 21, 2016

[ANALYST REPORT] Petrochemical Industry: Key factors that will transform market landscape

The Asian petrochemical market has been bearish due to a surge in oil prices (affect cost) and China’s heightened credit risk (affects demand), in the run-up to major macroeconomic events in June. We expect capacity expansion projects (affect supply) to be delayed until after 2017. That being said, upon the easing of the macroeconomic issues, chemical spreads should widen and petrochemical players’ valuation merit should increase on solid quarterly earnings.Polymer product (including PE, PP, and

June 21, 2016

SM Entertainment to build culture playground in Changwon

K-pop powerhouse SM Entertainment and Changwon City, South Gyeongsang Province, will collaborate for setting up a colossal culture complex, the city mayor said on June 21.SM Entertainment along with a consortium consisting of top-tier construction companies is planning to build a nine-story complex with parking space designed to accommodate approximately 206 vehicles, near the city’s main bus terminal, Changwon Mayor Ahn Sang-soo said in a press conference.Aerial view of SM Entertainment’s cultu

June 21, 2016

Moody‘s maintains A1 rating for Kyobo Life

[THE INVESTOR] Moody’s Investors Service has assigned the insurance financial strength rating of Kyobo Life Insurance, Korea’s third-largest life insurer by assets, to A1 for the second year in a row, the firm said on June 21. The rating outlook is stable.Last year, the ratings agency upgraded Kyobo Life Insurance’s rating from A2 to A1 for the insurer’s improvement in profitability and financial stability. Kyobo is the first Korean insurance firm that received the A1 rating from Moody’s. Big na

June 21, 2016

[ANALYST REPORT] Lotte Shopping: Momentum lost for beleaguered Lotte

1) Investment highlights- We downgrade our rating on Lotte Shopping to Marketperform and cut our target price to KRW240,000.- Uncertainties are swelling over the Lotte Group, as prosecutors expanded their investigation into the conglomerate’s alleged activities that include the creation of a slush fund through cross-affiliate transactions, illegal lobbying to build Lotte World Tower, preferential orders to affiliates, exaggerating sales, intra-family real estate transactions, etc.- Contrary to e

June 21, 2016