YG Entertainment is diversifying its business areas, and has been showing much potential in becoming the content leader of the global culture. Following its recent investment in the cosmetic industry, YG has recently invested in Red Rover, a 3D animation company, aggressively expanding its business.
According to the financial supervisory service, YG Entertainment invested a total of 5 billion Won, and has raised Red Rover’s stakes by 3%. New shares now start at 6,481 Won.
Before that, on August 6 YG made a significant investment in convertible bonds for the cosmetics manufacturer CosOn. According to CosOn, they plan to launch a cosmetic line targeted to women in their twenties starting early next year. Not only that, YG also has a hand in the fashion industry with ‘Natural 9.’
In July, YG also opened an official channel on Youku, known as the Chinese version of Youtube, which recently started working with Samsung. On this channel, K-pop will of course be featured, as well as other Korean contents, making it the first of its kind.
In May, YG started working with KT, a leading provider of 4D solutions business District Holdings, and NIK (Next Interactive K, Limited), a leading provider of investment distribution utilizing holographic 4D and 3D content. YG Entertainment is currently the largest shareholder of NIK, holding 51% of the shares. In April YG also signed an agent business contract with character design group Aurora World.
YG’s current expansion has a significant impact on the stock market. After YG’s investment of convertible bonds in CosOn, they experienced a rise of nearly 20%. Aurora World has continued to rise after signing the contract with YG. The same is expected for Red Rover in the days to come.