SEOUL, March 20 (Korea Bizwire) – The combined market capitalization of 23 Samsung Group affiliates has gained 12.1 percent so far this year, helped by a rally in the group’s crown jewel, Samsung Electronics Co., according to the Korea Exchange on Monday.
Shares of Samsung Electronics have continued to rise in the past few weeks buoyed by expectations about an improvement in its corporate governance structure, strong demand for semiconductors and an upcoming launch of the Galaxy S8 smartphone.
As of last Tuesday, the combined market capitalization of 23 Samsung affiliates stood at 442.4 trillion won (US$391.7 billion), compared with 394.7 trillion won at the end of last year.
The market cap of Samsung affiliates accounted for 28 percent of the total value of the KOSPI and the secondary, tech-laden KOSDAQ markets.
Samsung Electronics Vice Chairman Lee Jae-yong has been arrested since last month over his alleged role in a corruption scandal that led to the ouster of former president Park Geun-hye.
Some analysts expected Samsung Electronics to rise further on the back of a strong earnings outlook and the company’s pledge to boost shareholder returns.
In contrast, the combined market cap of Hyundai Motor Group affiliates fell 1.2 percent to 102.2 trillion won as of last Tuesday.
SK Group affiliates saw their total market cap rise 7 percent to 96.5 trillion won. The combined market cap of LG Group companies rose 6.9 percent to 79.8 trillion won during the same period.
The combined market value of the 10 largest business conglomerates climbed 8.1 percent to 823.8 trillion won as of last Tuesday, according to the data.