SEOUL, Sept 25 (Reuters) – A pop star whose song “Gangnam
Style” became the first Korean hit to top Apple’s music download
charts has also worked his magic on his father’s software firm,
helping it double in value since singer and dancer Psy burst
onto the global scene in July.
Psy’s father, Park Won-ho, is the chairman and controlling
shareholder of South Korean semiconductor company D I Corp
and its market capitalisation has surged to 113.5
billion won ($101.29 million) on the main Seoul bourse, making
it as of Tuesday the 459th most valuable stock measured by size.
Psy’s “Gangnam Style”, which mocks the rampant consumerism
of a rich Seoul suburb, went viral on video-sharing website
Youtube. The video has been viewed more than 267 million times
on Youtube since it was released in mid-July.
“The positive sentiment from ‘Gangnam Style’ has attracted
investors just because of the fact that the company is owned by
Psy’s father and uncle,” said Lee Sun-tae, a researcher at NH
Investment and Securities, who added Psy is not a shareholder in
the company.
“The popularity will slowly dissolve in time, naturally.”
South Korea’s legion of retail investors, mainly middle-aged
people, tend to jump on speculative stocks.
Software millionaire Ahn Cheol-soo, who this month announced
he would run for the country’s presidency, saw the value of his
company Ahnlab Inc.’s shares slide after his bid.
Ahnlab stock was down 30 percent on Tuesday compared with
its closing level a week ago, just a day before he made his
announcement.
($1 = 1120.5250 Korean won)
(Reporting by Christine Kim; Editing by David Chance and Daniel
Magnowski)
