YG Entertainment share price shoots up after BLACKPINK contract renewal

nme.com:

YG Entertainment has shot up after it announced that K-pop girl group BLACKPINK have renewed their contracts with the agency.The share price of YG Entertainment soared as much as 29 per cent today (December 6 KST), following the agency’s announcement that BLACKPINK have re-signed their contracts after a prolonged negotiation process.According to CNBC, the share price of YG Entertainment had closed at ₩48,000 (US$36.50) the day prior, but surged to as high as ₩61,900 (US$47.15) today.

The price of the company’s stocks have since cooled slightly, hovering at around ₩60,000 (US$65.70) at time of writing.Meanwhile, Bloomberg also notes that the stock price of YG Plus, which is partially owned by YG Entertainment, jumped up by the daily limit of 30 per cent.

Meanwhile, the shares of other K-pop companies also rose after the news, including HYBE (8.5 per cent) and JYP Entertainment (7 per cent).The announcement that BLACKPINK have renewed their contracts with YG Entertainment comes after a months-long negotiation process, one that began as early as July 2023.

At the time, the K-pop agency said that the girl group’s contracts were still “under discussion”, following media reports that Lisa would not be renewing her contract.The K-pop agency said largely the same in September 2023, when reports claimed that Jennie, Jisoo and Lisa would not be renewing their contracts.