[Asia Economy Reporter Minwoo Lee] Seha's stock price is on the rise. The food-grade white cardboard business has gained attention as packaging and delivery demand surged due to strengthened social distancing measures amid the novel coronavirus disease (COVID-19) pandemic.
On the 2nd, Seha's stock price recorded 1,700 won, up 8.28% from the previous day. With the spread of COVID-19 leading to reinforced social distancing mainly in the metropolitan area, food packaging and delivery demand is expected to increase significantly, along with a rise in parcel orders from the 'home-staying' population.
Seha's main business is manufacturing white cardboard used for packaging cosmetics, snacks, and other products. It ranks third in the industry with a market share of about 16%. Last year, its sales were 177.7 billion won, and operating profit was 14.1 billion won.
Earlier in May, a consortium of Hankuk Paper and Haesung Industry, composed of 80% and 20% stakes respectively, acquired 71.6% of Seha's shares for 55 billion won.
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