YG Reduces IPO Size as Marijuana Use Adds Risk to Korea Pop
This article is for subscribers only.
YG Entertainment Co., which manages the Korean boy band Big Bang, lowered the amount it’s seeking in its initial public offering after the band’s leader tested positive for marijuana use.
G-Dragon’s drug use could be a “constraint” for the band’s activities for a while, YG said in a revised prospectus submitted to Korea Exchange Inc. yesterday. Big Bang’s concerts may be delayed and revenue from commercials could fall, the company said. Big Bang and its members accounted for more than half of the company’s total sales in 2010, YG said.