BLACKPINK members renew contract, boosting shares in label YG Entertainment

SM Entertainment Co

06/12/2023 02:06

SEOUL, Dec 6 (Reuters) - South Korea's YG Entertainment
Inc  122870.KQ  said on Wednesday that all four members of South
Korean K-pop girl group BLACKPINK have renewed their contracts
with the label, sending shares of the company up by nearly a
third. 
    For months, there has been speculation that some members of
BLACKPINK would not renew their contracts with the label,
putting pressure on its shares. 
    "With strong trust, we signed an exclusive contract for
group activities after having serious discussions with
BLACKPINK," YG Entertainment said in a statement. 
    The label was still in talks with the group regarding an
exclusive contract for solo activities, a YG Entertainment
official told Reuters.
    YG Entertainment's shares rose as much as 29% to 61,900 won 
($47.16), trading at a more than a three-week high after the
announcement.
    Shares in other major South Korean entertainment labels also
rallied - HYBE Co  352820.KS , the label behind K-Pop group BTS,
jumped 7.3%, JYP Entertainment Corp  035900.KQ  rose 5.7%, and
SM Entertainment  041510.KQ  was up 5.2% in morning trade. 
    BLACKPINK set a Guinness record earlier this year for having
the most-viewed music channel on YouTube, which now boasts over
90 million subscribers.
    Last month, BLACKPINK received honours from Britain's King
Charles III for their work in raising awareness about climate
change.
    The group embarked on a worldwide Born Pink World Tour in
October last year which came to a close in september, performing
more than 60 shows across the world.

    ($1 = 1,312.5300 won)

 (Reporting by Heekyong Yang and Hyunsu Yim; Additional
reporting by Youn Ah Moon; Editing by Ed Davies and Sonali Paul)
 ((Heekyong.Yang@thomsonreuters.com))