[Featured Stocks] Daehan Airlines and Asiana Airlines Big Deal News Causes Mixed Reactions in Related Stocks' Prices

[Asia Economy Reporter Minji Lee] As the possibility of a big deal between Korean Air and Asiana Airlines increases, the stock prices of the two companies are showing divergent trends.

According to the Korea Exchange at 9:08 a.m. on the 16th, Asiana Airlines traded at 4,710 KRW, up 9% from the previous session on the KOSPI market. Kumho Industrial, which holds shares in Asiana Airlines, traded at 8,770 KRW, up 10.87% from the previous session. Kumho Industrial's preferred shares, which hit the upper limit price on the 13th, rose 29.74% again on this day, approaching the upper limit price.

On the other hand, Hanjin KAL traded at 72,200 KRW, down 7.20% from the previous session. Hanjin also fell by 5.95%. However, Korean Air, which had shown a downward trend on the 13th, rose 2.3% on this day to 24,500 KRW.

According to the aviation and financial investment industries, an announcement regarding Hanjin Group's plan to acquire Asiana Airlines, which owns Korean Air, is expected soon. The government plans to hold a meeting of the Ministers for Strengthening Industrial Competitiveness (San-gyeong-jang) on this day to discuss measures for normalizing Asiana Airlines.

If Korean Air and Asiana Airlines become part of one group, an oligopolistic airline group will be formed. Last year, the combined air passenger market share (including LCCs) of these two companies reached 54%. The total number of aircraft will exceed 300, expected to propel the group into the global top 20.