Market Value of 55 Tril. Won Evaporates
The combined market capitalization of the top 10 conglomerates of South Korea decreased by no less than 55 trillion won in about one month in the wake of COVID-19. Specifically, the market cap of their 100 listed subsidiaries decreased by 6.08 percent to 853.9 trillion won from Jan. 20 to Feb. 25 after the first COVID-19 infection in South Korea was confirmed on Jan. 20.
During the period, Shinsegae Group’s market cap dropped 21.6 percent to 7,270.2 billion won and Lotte Group’s market cap dropped 16.2 percent to 16,664.9 billion won.
Likewise, Hyundai Motor Group’s fell 6.81 percent to 79,571.8 billion won. Of its 12 listed subsidiaries, only Hyundai Motor Co. showed an increase in market cap. Its aggregate market value rose 3.38 percent during the period whereas those of Kia Motors, Hyundai Mobis and Hyundai Glovis fell 6.76 percent, 11.69 percent and 10.7 percent, respectively.
Samsung Group’s value decreased 5.94 percent to 481,310.7 billion won. Although Samsung Electronics’ fell from 36,594.8 billion won to 33.9 trillion won, those of Samsung SDI, Samsung Biologics and Samsung C&T increased 19.1 percent, 5.5 percent and 1.9 percent, respectively.
The combined market cap of SK Group’s 19 listed subsidiaries decreased 4.29 percent to 125 trillion won whereas that of LG Group’s 13 listed subsidiaries edged up 0.64 percent to 87,406.5 billion won. The aggregate market value of LG Chem jumped 18.6 percent to 27,884 billion won although LG Display, LG Electronics and LG Household & Health Care respectively lost 6.6 percent, 8.5 percent and 9.1 percent.