Gaon Cable, a specialized wire manufacturer, is experiencing a strong surge in its stock price following news of securing a large contract in the U.S. market.
As of 9:49 a.m. KST on June 18, Gaon Cable's shares rose by 52,500 won (15.40%) to 393,500 won. At one point, the stock jumped over 22%, reaching 416,000 won. This marks the fourth consecutive day of gains for the company, which had previously hit its upper price limit.
The increase in stock price is attributed to the announcement of expanded contracts related to artificial intelligence (AI) data centers and power networks in the U.S.
According to financial industry sources, Gaon Cable's U.S. subsidiary, LSCUS, recently signed a bus duct supply contract valued at approximately 4.7 trillion won. Bus ducts are critical infrastructure for AI data centers, providing stable power supply. Additionally, Gaon Cable's U.S. subsidiary has secured long-term supply contracts for bus ducts worth over 5 trillion won with major global tech companies.
Meanwhile, Gaon Cable also announced a stock split today. The company plans to issue 13,234,492 new common shares. The stock split will allocate 0.8 new shares for every existing common share held by shareholders. The record date for the new share allocation is set for July 1, with the new shares expected to be listed on July 23.
* This article has been translated by AI.
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