Shares of LIG Defense&Aerospace rose more than 6% early on the 22nd. As signs grew that talks between the United States and Iran were breaking down, defense stocks came into focus, and the stock appears to be strengthening further on the back of large order news the previous day.
As of 9:22 a.m. on the same day, LIG Defense&Aerospace was trading at 965,000 won, up 56,000 won (6.16%) from the previous session on the Korea Exchange.
LIG Defense&Aerospace climbed to as high as 990,000 won early in the session, hitting a record high.
The United States declared an extension of the cease-fire, but Iran did not recognize it, raising the likelihood that negotiations will collapse. As military tensions rise in the Middle East and concerns grow over expanding geopolitical risks, buying appears to be flocking to defense stock LIG Defense&Aerospace.
LIG Defense&Aerospace disclosed on the 21st that it recently signed a single sales and supply contract large enough to meet disclosure requirements, equivalent to at least 2.5% of revenue. It said the contract includes a down payment and advance payment.
Recent revenue is about 4.3069 trillion won. The contract period runs from the 20th to Nov. 30, 2029.
It did not disclose the specific contract name, contract amount, or counterparty, citing the need to maintain business confidentiality.