Shares of JYP Entertainment have surged following reports that two Japanese investment firms plan to acquire up to 50% of the company next month.
As of 8:45 a.m. on October 27, JYP Entertainment's stock was trading at 38,450 won, up 6.67% from the previous trading day, according to Next Trade (NXT). The stock had previously closed at 42,150 won, reflecting a 14.38% increase in after-hours trading.
Investment industry sources reported that the Japanese firms, The NEXROC Group and SVCV, Inc., announced on October 26 their intention to pursue the acquisition of JYP shares, stating, "Both companies plan to initiate a public offering as early as November." The target for the acquisition is between 25% and 50% of JYP's issued shares.
As of the previous day, JYP's market capitalization was approximately 1.5 trillion won, meaning a 50% stake would be valued at around 750 billion won. The Japanese investment firms indicated that they are considering a public offering price that includes a 30% premium over the current stock price, adding that the final purchase price and other details will be confirmed later.
* This article has been translated by AI.
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