Lee Soo Man And Bang Si Hyuk Release A Joint Statement Announcing The Future Of SM Entertainment
On February 10, after much speculation, HYBE announced that they had acquired 14.8% of SM Entertainment founder Lee Soo Man’s shares, making them the single largest shareholder in the company.
We signed a contract on February 8 to acquire a 14.8% stake, or 3,523,420 shares, in SM Entertainment that were previously held by Lee Soo Man.
— SM Entertainment
To this, Bang Si Hyuk and Lee Soo Man released a joint statement explaining the reason behind the purchase as well as their plans for SM Entertainment in the future.
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.
SM Entertainment’s largest shareholder and founder and HYBE’s chairman
— Lee Soo Man and Bang Si Hyuk