S.Korea's SK Networks soars 20 pct over potential Asiana takeover

SK Networks Co

16/04/2019 02:11

** Shares of SK Networks  001740.KS , which operates
Walkerhill Hotel in Seoul along with rental car service, soar on
expectation that SK Group's possible takeover of Asiana Airlines
 020560.KS  could create synergy effect
    ** SK Networks surges as much as 20.2 pct 
    ** Top shareholder of Asiana Airlines says it will sell its
entire stake in the debt-ridden carrier to keep it afloat,
sending its stocks up nearly 30 pct 
    ** The possible takeover could create some synergy but the
expectations are excessive, says Park Jong-ryeul, analyst from
Hyundai Motor Securities, noting the huge takeover cost could
rather become an unfavourable factor for the co
    ** SK Networks spokesman refuses to comment, while SK Group
has denied its interest in Asiana deal
    ** Analysts see some conglomerates including SK Group and
Aekyung Group could be potential suitors for the deal 
    ** The broader KOSPI market  .KS11  was trading down 0.2 pct

 ((hayoung.choi.thomsonreuters.com@reuters.net))