Poongsan Holdings shares were strong early on the 7th. The buying is seen as stemming from news that Poongsan will sell its ammunition division.
As of 9:34 a.m. that day, Poongsan Holdings was trading at 52,000 won, up 4,750 won (10.05%) from the previous session.
According to the industry, Hanwha Aerospace participated in a private bid to acquire Poongsan's ammunition division (defense institutional sector) and is said to have submitted a final bid proposal. The sale is reported to be worth 1.5 trillion won.
On this news, Poongsan Holdings shares have risen for three straight sessions. On the 2nd, the stock was 35,050 won; on this day it topped the 50,000-won level, surging about 50%. The previous day, it finished at the upper limit (the top of the daily price band) in transaction.
Poongsan, regarding the sale rumors, said on the 3rd, "We are reviewing various options, including business structure reorganization, to enhance corporate value and shareholder value," adding, "Nothing specific has been finalized so far."