HYBE Becomes Single Largest Shareholder in SM; Releases Open Letter to Fans, Artists, and More

HYBE has become the single largest shareholder in SM by completing the acquisition of 14.8 percent of stoke on Wednesday, February 22. The firm released an open letter to the fans, artists, employees, and shareholders of SM Entertainment, sharing the acquisition details.

In the open letter, HYBE CEO Jiwon Park said the company resolved the governance issue between SM and former Chief Producer Lee Soo Man. SM will become a company with a transparent governance structure that prioritizes shareholder values.

Park shared more details about the similarities between both companies' corporate philosophies. He also shared the synergy they can collaborate to create in the upcoming future.

HYBE bought 3,523,420 common stokes of SM Entertainment's largest shareholder Lee Soo Man for 422.8 billion won ($334 million) on February 9 and became the largest shareholder in SM. It is planning to share Dream Maker Entertainment and SM Brand Marketing Co.


Here is the Open Letter by HYBE:

HYBE manages K-pop bands BTS, Seventeen, Tomorrow X Together (TXT), ENHYPEN and NewJeans. The group's under SM Entertainment are EXO, NCT, Aespa, Red Velvet, Girls' Generation, Super Junior and TVXQ.