The market capitalization of Korea’s top 10 biggest business groups surged more than 36 trillion won ($31.75 billion), or 5.4 percent, so far this year compared to the end of last year, outpacing the country’s benchmark Kospi gain of 3.7 percent over the same period.

According to the Korea Exchange on Monday, the combined market capital of the country’s top 10 conglomerates totaled 714.33 trillion won as of October 12 from 677.84 trillion won at the end of 2015.

By group, Hyundai Heavy Industries Group topped the list with its market cap adding whopping 57.3 percent to 13.17 trillion won from 8.37 trillion won. The surge was driven by Hyundai Heavy Industries Co. and Hyundai Mipo Dockyard Co. whose stock prices jumped by 73.7 percent and 51.8 percent, respectively, in the same period.

The second biggest rise was seen in POSCO Group whose market cap grew by 37.5 percent from 18.40 trillion won to 25.31 trillion won. It was followed by SK (14.3 percent), GS (5.6 percent) and Lotte (3.1 percent). The market capitalization of Samsung Group, which experienced roller-coaster ride due to its debacle over fire-prone Galaxy Note 7 phones and controversy over governance, has gained by 7.7 percent from 326.97 trillion won to 352.16 trillion won.

In contrast, LG Group’s market cap shrank 11.8 percent from 83.02 trillion won to 73.25 trillion won due to a fall in stock prices of LG Chem (-34.0 percent), LG Electronics (-4.1 percent) and LG Hausys (-30.0 percent), the group’s flagship units.

Hanjin Group (-8.6 percent), Hyundai Motor Group (-2.0 percent) and Hanwha Group (-1.7 percent) also reported decline in market cap.

The 10 biggest business groups represented 52.2 percent of the entire market capitalization on the Kospi market, up 0.7 percentage point from 54.5 percent at the end of last year.

By Park Yoon-gu

[ⓒ Pulse by Maeil Business News Korea & mk.co.kr, All rights reserved]