Shares of K-pop agency YG Entertainment tumbled almost 9% on Friday after South Korean media reported that Blackpink member Lisa has rejected a contract renewal offer from the agency.
The share price tumble is YG’s largest one-day drop since September 28, 2022.
According to South Korean news outlet Star News, the Thailand-born member has rejected two offers from YG, with the size of the contract reportedly worth 50 billion South Korean won ($37.6 million).
In a statement to South Korean media outlet TVReport on Friday, a YG spokesperson said the company is “discussing renewing our contract with Lisa,” according to Google Translate. “The rumor has not been officially confirmed,” the person added.
CNBC reached out to YG Entertainment for comment, but did not immediately receive a reply.
The latest development follows reports earlier in July that Lisa has “not been able to find an agreement” regarding a contract extension with the agency.
At the time, South Korean media outlet Newsen reported that YG responded to queries by saying that contract renewal discussions were underway, but outlet Munhwa Ilbo reported that “it is known that the difference between the two sides is quite large.”
Blackpink — made up of members Jisoo, Jennie and Rosé, in addition to Lisa — has been one of YG’s most successful K-pop groups.
The news comes as Blackpink wraps up its “Born Pink” world tour, in what has been described as the largest world tour by a K-pop girl group, attracting an estimated 1.5 million people over 41 cities since it started in October 2022.
Blackpink will hold the final two days of the tour on September 16 and 17 in Seoul.
The four-member group debuted with YG in August 2016. As K-pop groups typically sign seven-year contracts, Blackpink’s contract was expected to expire in August, but the agency has not confirmed any contract renewals with any of the members.
Read the full article here
