[theqoo] HYBE, ACQUIRES SM... BUYS 14.8% OWNERSHIP FROM LEE SOOMAN, BECOMES THE BIGGEST SHAREHOLDER

It’s official: HYBE has inked a deal with SM Entertainment founder Lee Soo Man that will make it the largest shareholder of the company.

On February 10, HYBE was officially confirmed to be acquiring a 14.8 percent stake of SM Entertainment from Lee Soo Man for 422.8 billion won (approximately $334.3 million).

Before the deal, Lee Soo Man possessed an 18.46 percent stake in SM Entertainment, making him the company’s top shareholder. Earlier this week, Kakao became the second-largest shareholder after acquiring a 9.05 percent stake in the company: a move that Lee Soo Man denounced as illegal—and against which he is taking legal action.

Last week, SM Entertainment’s current CEO Lee Sung Soo (who is Lee Soo Man’s nephew) and COO Tak Young Jun announced their vision for a newly restructured “SM 3.0,” which involved cutting ties with SM Entertainment’s longtime producer Lee Soo Man. A few days later, Kakao acquired its stake in the company. Lee Soo Man then flew back to Korea and declared that he would be taking legal action against SM Entertainment for violating the Commercial Act by illegally issuing new shares of the company and convertible bonds without the agreement of the top shareholder (Lee Soo Man) during a management dispute.

Outside of its deal with Lee Soo Man, HYBE has also announced that it plans to acquire additional shares of SM Entertainment from minority shareholders, which will further increase its stake in the company.

CR: Soompi

original post: here

1. Seriously why is this grandpa doing this?

2. Seriously, this situation is ridicuoulsㅋㅋ

3. Wow when SM acquired Woollim 10 years ago, they were treated like some child of a concubine and when Bangtan debuted, they got so much hate for being from a sh*t company. I really lived long to be witnessing this nowㅋㅋㅋ

4. I've lived to witness everythingㅋㅋㅋ

5. I lived long enough to witness this... The butterfly effect that Bangtan made

6. Who knew that something like this would happen one day...

7. Just what is Bangtan?... They are so impressive that I still cannot grasp it now

8. Is this something good for the industry? I know nothing about this

9. At this point, it's pretty obvious where K-pop is going now so it's not fun anymore

10. They are seriously becoming a monsterㅎㅎ....

[theqoo] BANG SIHYUK AND LEE SOOMAN'S OFFICIAL STATEMENT

SM Entertainment’s largest shareholder and founder, former executive producer Lee Soo Man and HYBE’s chairman, Bang Si Hyuk, have joined hands so that SM Entertainment and HYBE will become game changers in the world’s popular music.

This will enhance K-Pop’s global competitiveness, and we have decided to make our shared vision of a lifestyle platform for future endeavors a reality.

Lee Soo Man has decided to transfer his shares to HYBE to begin a partnership with HYBE. HYBE shares SM Entertainment and Lee Soo Man’s vision to implement the metaverse, establishing a multi-label system, and vision campaigns to save the world, and HYBE will use its resources so that K-Pop will enhance its standing in the global market. SM Entertainment is a resilient company that transformed a fast-changing music industry into an industry that enables Korean music to grow. It is the pioneer that blazed a trail and has allowed K-Pop to become international and is the K-Pop pioneer that suggested a new genre called K-Pop to people all over the world.

At the center of all of SM Entertainment’s achievements is Lee Soo Man. It isn’t an exaggeration to say that everyone in the K-Pop industry has been influenced by Lee Soo Man. Lee Soo Man industrialized Korean music, which was once barren, and has made it the world’s best and is the legacy of our musicians.

Lee Soo Man and HYBE will actively cooperate in improving SM Entertainment’s governance as well as its executive management. Lee Soo Man, while making the important decision to sell his shares, also supported HYBE’s plans to purchase shares from minority shareholders.

SM Entertainment and HYBE will combine their capabilities to globalize K-Pop and will create a strong synergy in various businesses beginning with labels and platforms. We will enhance the current platform leading the global market so that the world’s fans will be able to meet more artists and experience the joy of K-Pop.

We ask that you support the future that SM Entertainment and HYBE will create together.

Thank you.

SM Entertainment’s largest shareholder and founder and HYBE’s chairman

- Lee Sooman and Bang Sihyuk

CR: Koreaboo

original post: here

1. Now that Bang Sihyuk acquired it, is SM considered a HYBE label too now?

2. But would HYBE even be able to come this far without Bangtan?... I don't know what will happen in the future but they are really growing recklessly

3. Wow.... wow....

4. Wowㅋㅋㅋㅋㅋ they ate up SMㅋㅋㅋㅋㅋㅋㅋㅋㅋㅋㅋ

5. HYBE should really treat Bangtan nice, please

6. Ah Bangtan ate SM up all by themselvesㅋㅋㅋ fascinatingㅋㅋㅋ

7. And all of this was done through Bangtan aloneㄷㄷㄷ

8. They already acquired an American company for 1 trillion won in the past. What is SM to them?

9. Ha... we're f*cked

10. Big 3: HYBE, JYP, YG (but HYBE is the one top...)

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