[Market Focus] Dongseo Rises Over 4% on News of Coffee Product Price Hike

Dongseo shares showed strong performance in early trading on May 26. The rise in investor sentiment is attributed to news of price increases across all coffee products.

As of 9:15 a.m. on the same day in the Korea Exchange, Dongseo shares were trading at 25,450 won, up 4.09% from the previous trading day. The stock opened at 25,000 won and has been on an upward trend.

On May 23, Dongseo Food announced that it would raise the shipment prices of its coffee products by an average of 7.7% starting May 30. By product category, coffee mix products such as Maxim Mocha Gold and instant coffee like Kanu Americano will see an average increase of 9%, while coffee beverages such as Maxim TOP and Maxwell House RTD will rise by an average of 4.4%.

This price increase comes six months after the previous adjustment in November of last year. At that time, Dongseo Food raised the shipment prices of its coffee products by an average of 8.9%.

A Dongseo Food representative stated, "We decided to increase prices because the high level of raw material costs has persisted due to reduced coffee production caused by abnormal weather conditions."