In early trading on the 27th, Hotel Shilla shares are surging. After news that President Lee Boo-jin will buy about 20 billion won worth of treasury shares on the open market and as strong first-quarter results came in, buying is piling into Hotel Shilla.
As of 9:21 a.m. that day on the Korea Exchange, Hotel Shilla is trading at 66,000 won, up 5.94% (3,700 won) from the previous session.
It is analyzed that buying was spurred by news that Lee Boo-jin, president of Hotel Shilla, will purchase treasury shares for the first time.
Hotel Shilla disclosed on the 26th of last month that President Lee Boo-jin plans to buy treasury shares. The company said this reflects a commitment to responsible management and to enhancing shareholder value.
Starting that day and over 30 days, Lee Boo-jin will buy about 20 billion won worth of Hotel Shilla shares on the open market.
Robust first-quarter results are also seen as adding momentum to the buying. Hotel Shilla disclosed on the 24th that its preliminary operating profit for the first quarter was 20.4 billion won. Compared with the same period last year (an operating loss of 2.5 billion won), it swung to a profit.
Revenue was 1.0535 trillion won, up 8.4% year over year, and net profit also turned to a surplus at 6 billion won.