S.Korea Kumho signs $4 bln Vietnam construction MOU

Kumho Engineering & Construction, a building unit of South Korea\'s Kumho Industrial Co Ltd said Wednesday it has reached a preliminarily agreement for a $4 billion construction project in Vietnam.

The unlisted builder said in a statement that it signed a memorandum of understanding (MOU) with state-run Urban Infrastructure Development Investment (UIDC) Corporation for the project in the south east Asian country.

Kumho Engineering plans to set up a 50-50 joint venture for the development with UIDC in June, company officials said. The company aims to lift this year\'s sales by 55 percent to 2.5 trillion won ($2.65 billion) from 2007 and to raise orders by 37 percent to 5.7 trillion won.

Shares in Kumho Industrial were up 0.93 percent to 37,950 won as of 0402 GMT, while the broader market was virtually flat.

Source: Reuters