Tuesday, November 26th, 2013
SEOUL, KOREA - Construction shares are showing strength on the news of the Iranian government reaching an agreement with six world powers to curb its nuclear activities in return for about $7 billion in sanctions relief, after days of intense talks in Geneva.
At 9:18 am on November 25, the shares of Daelim Industrial were traded at 98,000 won, up 4.59 percent from the previous day's 93,700 won. Other construction shares such as Byucksan Engineering & Construction (14.92%), Namkwang Engineering & Construction (12.27%), Daewoo Engineering & Construction (3.23%), Sungjee Co. (3.13%), and Hyundai Engineering & Construction (1.47%) also increased by a large clip. The KOSPI construction industry index rose 2.99 percent, the highest among all other industrial sectors.
Lee Kyung-ja, analyst with Korea Investment & Securities, said, "Daelim Industrial has deeply involved in Iran, with 44 percent of its overseas order booking amount accounted for by Iran. Once international sanctions on Iran are lifted, it will be able to benefit in the long run."