SOUTH KOREA FIRST TO MARKET

Research evidence excerpt

SOUTH KOREA FIRST TO MARKET

Asia Pacific Equity Research

South Korea First to Market 17 June 2026

Top Stories

Korea Defense (Simon Han)

Rheinmetall - LIG D&A partners on NATO missile systems: Tune in for more from Eurosatory 2026

Following the kick-off of the Eurosatory 2026 defense exhibition yesterday, Rheinmetall (N, covered by David H Perry)

announced a strategic partnership with LIG D&A to provide air defense systems for NATO European countries. We believe this

agreement shows Europe’s willingness to fill the gap in its defense capabilities together with Korea starting with missile

systems, which should also broaden to guided rockets and ammunition. LIG D&A and Hanwha Aerospace have the most to

offer, in our view, and we expect the companies to capture the c.W80T European missiles and rockets opportunity. We maintain

our positive view on Korea defense and highlight LIG D&A with near-term upside given imminent M-SAM II exports from the

Middle East.

Korea Internet Pulse: June 2026 (Stanley Yang)

Rising interest in B2B AI infra strategy after Jensen Huang’s Korea visit

Sector view. NVIDIA CEO Jensen Huang’s recent Korea visit for AI partnership triggered significant share price volatility, with

rallies in some companies proving short-lived in the absence of a concrete roadmap (e.g., SKT, Krafton, NC). For NC/Krafton,

core IP monetization should remain the key share price driver rather than AI strategy (e.g., physical AI, robotics), with Krafton

(OW) expected to sustain PUBG IP performance in 2Q, supported by multiple content updates at PUBG PC, in contrast to NC

(N)’s softening AION 2 revenue. We remain positive on Coupang (OW), given reduced regulatory overhang after the PIPC fine

and Wiseapp data showing GMV recovery in line with mgmt’s guidance.