Korean content provider YG Entertainment is raising $85 million from Tencent and Weiying Technology.
Min-Suk Yang, CEO of YG Entertainment, will sign the investment agreements in a ceremony with Suman Wang, general manager of Film/Drama Department and editor-in-chief of Tencent Video, and Lin Ning, CEO of Weiying Technology.
YG will issue new common shares amounting to $55 million to a wholly-owned subsidiary of Tencent and Fengying (100% owned investment SPC of Weiying Technology). The two investors are also buying $30 million in aggregate from YG’s largest shareholder, Hyun-Suk Yang and its CEO, Min-Suk Yang.
Weiying Technology and Tencent will respectively invest $55 million and $30 million and hold 8.2% and 4.5% in YG, becoming the third and fourth largest shareholders of YG after L Capital Asia, the investment arm of LVMH Group.