South Korea Stocks: Hana, Korea Exchange Bank, Kangwon Land
The Kospi Index (KOSPI) fell 1 percent to 1,820.03.
Hana Financial Group Inc. (086790) (086790 KS), which agreed to acquire Korea Exchange Bank (004940) (004940 KS) from Lone Star Funds, rose 4.5 percent to 37,200 won, gaining the most since Oct.13. South Korea removed the last major regulatory hurdle for the planned takeover.
Korea Exchange Bank fell 0.6 percent to 7,850 won.
Kangwon Land Inc. (035250) (035250 KS), a casino and hotel operator, fell 3.4 percent to 27,150 won, its lowest close since Oct. 18. Shinhan Investment Corp. lowered its stock rating on Kangwon Land to “trading buy” from “buy.” The company reported a 21 percent drop in third-quarter net income that was lower than expected, Sung June Won, an analyst at Shinhan, wrote.
Korea Electric Power Corp. (015760) (015760 KS), the country’s biggest electricity producer, rose 2.3 percent to 24,100 won. The state-run utility requested government approval to raise tariffs by more than 10 percent, the Dong-A Ilbo newspaper said. The company’s board had asked the government to increase tariffs to help reduce losses, Korea Electric said in an e-mail.
LG Innotek Co. (011070 KS), a light-emitting diode maker, rose 7.1 percent to 67,900 won, its largest gain since Oct. 6. Meritz Securities Co. picked the company as one of the top stocks to benefit from an improvement in the LED market next year, according to a report from the brokerage dated today.
STX Corp. (011810 KS), the holding company of STX Group, rose 1.9 percent to 13,450 won. STX Heavy Industries Co., an affiliate of STX, won a $2 billion order from National Mining Company to build a plant complex in Saudi Arabia.
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