The Korea Herald

Hanmi Semiconductor inks supply deal with Powertech Technology

[DISCLOSURE] Hanmi Semiconductor (042700) said on July 4 that it has signed a 2.5 billion won (US$2.2 million) deal with Powertech Technology to supply semiconductor manufacturing equipment.

July 4, 2016

Telecon acquires Vivozon in $22.6 million deal

[DISCLOSURE] Telcon (200230) said on July 4 that it has decided to acquire 1,989,174 shares, or 31.8 percent, in Vivozon, a Korean drug developer, for 26.1 billion won (US$22.6 million) to diversify its business portfolio. For the acquisition, Telcon will raise 8.9 billion won of third-party capital and issue convertible bonds worth 13.5 billion won.

July 4, 2016

[ANALYST REPORT] Non-life insurers: Threats from low interest rate trends

Combined NP in May reached W247bn (-3.5% YoY, +6.0% MoM)The combined NP of six non-life insurers in May reached W247bn (-3.5% YoY, +6.0% MoM). The auto loss ratio inched down on the minor effects of renewed policies and premium hikes. However, the risk loss ratio went up 6.9-12.5%p YoY due to 1) two more business days and 2) a low comparison base stemming from the MERS outbreak. As such, we believe the risk loss ratio will increase YoY as the MERS effect would cover June as well.FSC aims to refo

July 1, 2016

[ANALYST REPORT] Non-life insurers: Threats from low interest rate trends

Financial authority fines Wooridul Pharmaceutical and 7 others for violating disclosure rules

[THE INVESTOR] South Korea’s Securities & Futures Commission said on June 30 it slapped fines on eight companies for violating disclosure rules.The commission said it levied Wooridul Pharmaceutical with a 12.5 million won (US$10,831) fine for not reporting changes in payment dates of a subscription deposit when the firm conducted a new share capital increase in 2012. KT Submarine also faces a 41.1 million won fine for failing to file reports on an unmanned submersible vehicle and submarine cable

June 30, 2016

Short sellers required to make disclosures from July

[THE INVESTOR] Investors in South Korea will be required to disclose covered short sale positions on the homepage of the local bourse operator Korea Exchange from July 1. The Financial Services Commission will impose a new regulation obligating investors to reveal their short positions and information about their identities once the amount comes to 0.5 percent of a company’s outstanding capital. Investors will have three trade days to file their reports on the name of the short-sold stock and ot

June 30, 2016

Short sellers required to make disclosures from July

Samyang Packaging to go public next year

[THE INVESTOR] Samyang Packaging, a Korean plastic container manufacturer, is pushing for an initial public offering next year in a bid to improve its financial status by raising funds.The company is preparing to go public by sending out a request for proposal letters to major securities firms to hire a lead manager for the offer. Samyang Packaging, which was established in 2014 by being spun-off from Samyang Sa, has facilities that produce PET plastic bottles and recycle them. As of end of 2015

June 29, 2016

KT, BC Card partner with UnionPay for mobile payment service

[THE INVESTOR] Telecom operator KT and its subsidiary BC Card have partnered with Chinese bank card UnionPay International to launch UnionPay HCE mobile QuickPass in Korea, which will enable the local cardholders to pay by tapping their mobile phones, the companies said on June 29. Mobile QuickPass is UnionPay’s new mobile payment solution. It supports both offline contactless payment and online payment. It encompasses many mobile payment products, including HCE, Apple Pay and Sumsang Pay. Accor

June 29, 2016

KT, BC Card partner with UnionPay for mobile payment service

KTB Investment fined for helping internal transactions

[THE INVESTOR] South Korean financial watchdog slapped an 87.5 million won (US$ 75,000) fine on KTB Investment & Securities for helping internal transactions between Dongbu Group’s affiliate on June 28. During an investigation, the Financial Supervisory Service found that KTB Investment and Dongbu Life Insurance worked closely together for the insurer’s improper purchase of Dongbu E&C’s corporate bonds. In South Korea, financial institutions are banned to buy corporate notes of its affiliate fir

June 29, 2016

[ANALYST REPORT] Foreigners’ bond duration rises on buying of mid- and long-term bonds

Foreigners net sold 650 billion won (US$546 million) worth of Korean Treasury bonds in the spot market during the fourth week of June (June 20-24), net-selling for the first time in five weeks. Yet, as foreigners net sold mainly short-term monetary stabilization bonds (maturing in August) and net bought mid- and long-term maturities, their bond duration continued to increase. ▶Foreigners’ bond investment trendsBalance: Last week (June 20-24), around 150 billion won worth of foreign-held won-deno

June 28, 2016

BOK to inject W3tr to counter Brexit-triggered instability

[THE INVESTOR] South Korea‘s central bank on June 27 said the bank will expand its liquidity supply this week to minimize the market uncertainties stemming from Britain’s recent vote to leave the European Union. During an emergency meeting presided by Bank of Korea Gov. Lee Ju-yeol, the bank said it will inject short-term liquidity worth some 3 trillion won (US$2.63 billion) this week by deploying open market operations. Such strategies are used to control the amount of money in the banking syst

June 27, 2016

BOK to inject W3tr to counter Brexit-triggered instability

[DECODED: NAVER] Naver needs new cash cow

[THE INVESTOR] Line, the Japan-based mobile chatting app unit of Naver, has been the crown jewel of South Korea’s largest internet portal for several reasons. Line helped Naver to gain a foothold in overseas markets through its popularity in Asian countries. The firm’s revenue currently accounts for one-third of Naver’s outstanding sales. According to Line’s initial public offering filing, which aims to raise about $3 billion in a dual Tokyo-New York listing set for July, the company will look t

June 27, 2016

[DECODED: NAVER] Naver needs new cash cow

CEOs wait tables for AMCHAM charity night

[THE INVESTOR] “Everyone, work your servers. You get to be their boss tonight. And isn‘t that a good feeling?”With those words from John Schuldt, president of the American Chamber of Commerce in Korea, the 12th CEO Servers’ Night at the Conrad Hotel in Seoul began on Friday. Hosted annually by the Partners for the Future Foundation, the event has the chief executives of AMCHAM member companies don white aprons to wait on family and friends and raise funds for scholarships for underprivileged stu

June 27, 2016

Anxiety grows over Brexit impact on Korean exports

Britain’s departure from the European Union is drawing mixed reactions here, with local experts offering dim prospects for Korean exporters but some others viewing the historic change as an opportunity for the world’s seventh-largest exporter to outpace its rivals in the overall European market. Amid growing concerns, the Korean government said Sunday it would prepare for separate trade talks with the EU and Great Britain. In 2009, South Korea and the EU signed a bilateral free trade agreement,

June 26, 2016

Anxiety grows over Brexit impact on Korean exports

Uncertainty lingers on Shin Dong-bin’s victory

[THE INVESTOR] Amid a looming crisis, Lotte Group chairman Shin Dong-bin on Saturday successfully fended off his brother’s challenge to the throne he seized last year, but he faces bigger threats at home with the prosecution’s investigation closing in on him.In support of the employees’ association that holds nearly one third of stakes in Lotte Holdings, a Tokyo-based company that controls Lotte’s operation in Korea, Shin once again cemented his leadership against repeated attempts by his elder

June 26, 2016

Uncertainty lingers on Shin Dong-bin’s victory

Korean won expected to further tumble on Brexit

[THE INVESTOR] The British pound has fallen, along with the euro, Chinese yuan and not to mention the Korean won, while the dollar and Japanese yen strengthened following the U.K.’s vote to leave the European Union.The won-dollar exchange opened with a decrease of 0.2 won at 1,150 won last Friday, but climbed almost 30 won closing at 1,179.9 won as the British voted in favor of exiting the Union, while the KOSPI lost more than 3 percent.Analysts forecast the won-dollar exchange to touch as high

June 26, 2016

Korean won expected to further tumble on Brexit

Articles by 박한나