YG Entertainment’s stock price is rebounding on the news that Yang Hyun Suk, the chief producer, has purchased company shares worth 20 billion won [$14.9 billion] and after YG revealed its plans for new groups this year.
As of 10:42 a.m. on the 23rd of January, the stock price is trading at 45,400 won, up 450 won (1%). The stock price started to decline earlier in the day, dropping to 44,350 won right after the market opened. However, it turned bullish again after the announcement of the chief producer’s share purchase.
Earlier on the same day, YG Entertainment announced that Yang Hyun Suk had been buying 461,940 company shares (average price of 43,305 won) since the 18th. As a result, Yang’s ownership stake increased from 16.8% to 19.3%.
The chief producer explained that the share purchase was not only for increasing shareholder value but also to demonstrate a strong commitment to the company’s growth and upcoming projects.
YG Entertainment stated they plan on revealing new groups this year, “We aim to release one or more new groups of global rookies through a project that includes auditions not only in Korea but also overseas.” They added, “Through various activities by our artists and global market expansion, we will secure new growth momentum and enhance shareholder value,” stating that Yang Hyun Suk’s share purchase is the beginning of this determination and effort.
The statement came as a surprise to fans since YG is known for taking their time between their groups debut. BABY MONSTER debuted back in late 2023 and many are sharing their thoughts on the possibility of YG debuting yet another group this year.
Do you think YG Entertainment can debut a new group this year?
Source: (A)
