[Featured Stock] Pan Ocean Jumps 7% on Hopes for Portfolio Diversification

The share price of Pan Ocean, which has decided to additionally introduce very large crude carriers (VLCCs), is on an upward trend.

As of 9:13 a.m. on the 19th, Pan Ocean was trading at 5,420 won, up 340 won (6.69%) from the previous trading day.

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On the 11th, Pan Ocean announced that it would acquire 10 VLCCs from SK Shipping for approximately 973.7 billion won. The deal is structured so that the existing long-term freight contracts are also succeeded.

Choi Jiwoon, a researcher at Yuanta Securities, said, "Since it will be classified as a finance lease in accounting terms, it is not expected to directly lead to an increase in revenue and operating profit in the short term," but added, "After the remaining contract period of 2 to 4 years ends, there is potential for additional profit generation depending on tanker market conditions. Consequently, it is positive that the company is diversifying its portfolio from its existing bulk-focused business structure into tankers and LNG, among others."

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