Foreign investors turn to JYP amid intensifying battle over SM

• Published date: 08 March 2023
• Publication title: The Korea Times

Foreign investors are focusing their attention on JYP Entertainment while Korean investors are turning their eyes to SM Entertainment's skyrocketing stocks amid an intensifying battle between Kakao and HYBE over its management rights.

According to the Korea Exchange, shares of JYP ended at 80,000 won ($60.54) at Wednesday's closing, a 2.7 percent increase from the previous session. The stock price of the entertainment giant soared by 14.9 percent from the start of 2023 to March 7.

Foreign investors are behind JYP's continuous stock price increases this year.

According to the data from Korea Exchange (the sole securities exchange operator in South Korea), they have net purchased shares worth 96.5 billion won ($73 million) for a month as of March 7, listing the company in the top 12 in terms of net purchases by foreign investors. The company's foreign ownership has increased to 40.66 percent as of March 7, from 23.31 percent a year ago.

Market analysts explain that JYP is attracting foreign investors as it has been and will continue to enjoy stable growth this year with the resumption of international tours and the debut of new idol groups.

According to Meritz Securities, JYP had a record-high revenue for the last quarter of 2022, up 78.3 percent from the same...