Photo: Chairman Yang Hyun Suk, Ravi Thandran and CEO Yang Min Suk toasting the new partnership at The Ritz-Carlton, Millenia in Singapore
YG Entertainment announced on Saturday they're in the process of closing a USD80 million investment deal by L Capital Asia, the Asian private equity firm sponsored by LVMH Moët Hennessy Louis Vuitton (LVMH).
The announcement was made at The Ritz-Carlton, Millenia hotel in Singapore, moments before the opening night of the YG Family concert, which featured the company's biggest stars including 2NE1, BIGBANG and PSY.
The investment includes a redeemable convertible preference shares (RCPS) tranche of USD60 million, with the proceeds to be deployed towards strategic acquisition opportunities both in Korea and globally, to augment YG's core entertainment business. It's also been agreed that YG chairman Yang Hyun Suk will transfer a portion of his interests to L Capital Asia.
As part of the partnership, the luxury group will assist YG Entertainment in nurturing new businesses in fields like cosmetics, fashion and holograms, and identifying other potential tie-ups.
Said Chairman Yang, "For the past 18 years, YG Entertainment has presented to the public the most popular an esteemed musical artists from BIGBANG to 2NE1, PSY, to most recently Winner, each of the respected artits lately being recognised as global brands. Moreover, applying the creative force to other areas of the business, YG has been preparing to launch its unique trendiness in the cosmetics and fashion industry. As such, (this partnership) will be an exciting trigger in YG's growth in creating the newest trends."
L Capital Asia's chairman and managing partner Ravi Thakran, also expressed the company's excitement at being able to lend its expertise to YG's creative expansion, at the cocktail reception attended by a small group of local and Korean media. "YG are now leveraging their deep understanding of, and connection with the youth, to enter complementary businesses such as fashion and beauty. We believe that there is a great complementarity of interests for us in creating newer avenues for maximising the potential of their core entertainment business, both within Korea and outside, as well as in creating value in some of these new business initiatives, where we at L Capital Asia bring deep domain knowledge," he said.
This marks L Capital Asia's 18th investment, and its first in Korea. The firm has previously invested in PVR Limited, and is the controlling shareholder in international F&B brand Ku De Ta.
Watch: Winner member Lee Seunghoon falls off stage at YG Family concert in Singapore
Photo: Chairman Yang Hyun Suk, Ravi Thandran and CEO Yang Min Suk toasting the new partnership at The Ritz-Carlton, Millenia in Singapore
YG Entertainment announced on Saturday they're in the process of closing a USD80 million investment deal by L Capital Asia, the Asian private equity firm sponsored by LVMH Moët Hennessy Louis Vuitton (LVMH).
The announcement was made at The Ritz-Carlton, Millenia hotel in Singapore, moments before the opening night of the YG Family concert, which featured the company's biggest stars including 2NE1, BIGBANG and PSY.
The investment includes a redeemable convertible preference shares (RCPS) tranche of USD60 million, with the proceeds to be deployed towards strategic acquisition opportunities both in Korea and globally, to augment YG's core entertainment business. It's also been agreed that YG chairman Yang Hyun Suk will transfer a portion of his interests to L Capital Asia.
As part of the partnership, the luxury group will assist YG Entertainment in nurturing new businesses in fields like cosmetics, fashion and holograms, and identifying other potential tie-ups.
Said Chairman Yang, "For the past 18 years, YG Entertainment has presented to the public the most popular an esteemed musical artists from BIGBANG to 2NE1, PSY, to most recently Winner, each of the respected artits lately being recognised as global brands. Moreover, applying the creative force to other areas of the business, YG has been preparing to launch its unique trendiness in the cosmetics and fashion industry. As such, (this partnership) will be an exciting trigger in YG's growth in creating the newest trends."
L Capital Asia's chairman and managing partner Ravi Thakran, also expressed the company's excitement at being able to lend its expertise to YG's creative expansion, at the cocktail reception attended by a small group of local and Korean media. "YG are now leveraging their deep understanding of, and connection with the youth, to enter complementary businesses such as fashion and beauty. We believe that there is a great complementarity of interests for us in creating newer avenues for maximising the potential of their core entertainment business, both within Korea and outside, as well as in creating value in some of these new business initiatives, where we at L Capital Asia bring deep domain knowledge," he said.
This marks L Capital Asia's 18th investment, and its first in Korea. The firm has previously invested in PVR Limited, and is the controlling shareholder in international F&B brand Ku De Ta.
Watch: Winner member Lee Seunghoon falls off stage at YG Family concert in Singapore