Latest news with #Hybe
Daily Mail
an hour ago
- Business
- Daily Mail
EXCLUSIVE Hailey Bieber responds to rumors husband Justin will use her Rhode millions to pay Scooter Braun
Hailey Bieber will not be paying off her husband Justin's multimillion-dollar debt to Scooter Braun's former company, Hybe, following the sale of her company Rhode. On Thursday, a rep for the 28-year-old model debunked the rumor that the pop star, 31, was holding off on settling his financial dispute with his former manager until Hailey's Rhode deal was closed and fully funded. 'The historic sale of Rhode is a huge accomplishment for Hailey and is completely separate from her husband and his business affairs,' Hailey's rep revealed to The clarification comes after TMZ reported that Justin would not have 'the cash to repay' his loan to Hybe or the millions in back commissions to Braun until Hailey's Rhode money came in. After Bieber cancelled his Justice tour in 2022, Braun's company HYBE America helped the singer pay back $26million of the original $40million advance he received from AEG. Last week, TMZ reported that Bieber had allegedly agreed to pay back the money over a 10-year period but allegedly stopped making payments to HYBE after the first installment. Braun also previously claimed that Bieber — who announced a new album on Thursday — owed him several million dollars in unpaid commissions. After years of back-and-forth, insiders told TMZ that Bieber will finally make good on his debts as the pair's settlement terms call for him to pay back the entire $26million. In a win for Bieber, the Grammy-winner will only have to pay Braun half of the $11million in unpaid commissions he allegedly owes him. has reached out to representatives for both Bieber and Braun for comment. The settlement news comes less than a month after TMZ claimed that Bieber was in the midst of negotiating the terms of a settlement with Braun and that the details would likely be fully hashed out within a matter of weeks. Back in May, the outlet revealed the alleged results of an independent audit performed by PricewaterhouseCoopers (PwC) that was commissioned by Braun's entertainment company, Hybe America. The investigation, which lasted for six months, culminated in April with the determination that Bieber allegedly owed Braun $8,806,000. Although Bieber's team didn't publicly dispute the results of the PwC audit, they announced that they had conducted their own audit of his business dealings with Braun. However, they didn't share how its results compared to the independent audit. Despite the determination of Bieber's alleged debts from a third party, Braun was reportedly willing to forgive the $8 million entirely. However, TMZ's sources claimed there were still two major stumbling blocks in the way of an agreement between the two. Anschutz Entertainment Group (AEG) had given Bieber an impressive $40 million advance for his Justice World Tour, which commenced in February 2022, after it was twice postponed — from 2020, and then 2021 — due to the coronavirus pandemic. After it finally got under way, Bieber ending up cancelling 14 concerts scheduled for June and July 2022 when he suffered temporary facial paralysis as a result of Ramsay Hunt syndrome. He resumed touring for a short stint from late April 2022 through early September 2022 in Europe, the Nordic countries and Brazil, before canceling the remainder of the tour. Bieber announced to fans that he was 'exhausted' and had to 'make [his] health the priority' at the recommendation of his doctors. In response to the cancellation, AEG reportedly tried to claw back $24 million of Bieber's original advance, but Braun's company Hybe agreed to step in and front the money for the repayment. In response, Bieber was allegedly required to pay back Hybe in installments spread out over 10 years, but he allegedly stopped paying after just a single installment. Sources claimed that the advance repayment was a major sticking point for Braun, and they alleged that Bieber has finally agreed to repay the amount. According to them, after his wife Hailey's profit from the $1billion sale of her cosmetics company Rhode, Justin was finally willing to settle up. Ironically, Hailey's loved ones previously told that they feared that Justin would 'take advantage of her kindness' and use the payout to cover his massive debts. However, a prominent LA-based divorce attorney recently explained to how Justin could end up walking away with half of Hailey's Rhode money if they should divorce, as they reportedly never signed a prenuptial agreement. Another reported requirement from Braun is that Bieber pay back $11 million he allegedly owes from commissions that were never paid, which was outside the scope of the PwC audit. However, TMZ's sources say Braun is willing to settle the debt for 'pennies on the dollar,' which could be a major break for Bieber.
Malay Mail
10 hours ago
- Business
- Malay Mail
K-pop boss Bang Si-hyuk to face IPO fraud charges as S. Korean president mounts financial clean-up
SEOUL, July 17 — South Korean financial regulators have referred Hybe chairman and founder Bang Si-hyuk to prosecutors over allegations of fraudulent trading during the K-pop agency's initial public offering (IPO). The Financial Services Commission's Securities and Futures Commission said it filed a criminal complaint against the mogul known as 'Hitman' Bang who also produced popular boy group BTS, and several former Hybe executives for allegedly violating the Capital Markets Act, The Korea Herald reported today. 'The suspects circumvented the lock-up period meant to prevent major shareholders from offloading shares immediately after listing, and dumped their shares on the market for profit. 'The nature of this violation is particularly serious,' an unnamed financial authority official was quoted as saying. The Korean newspaper described the move as the strongest disciplinary action taken by regulators under the administration of new president Lee Jae-myung against a major conglomerate head. A referral to the prosecution is the harshest penalty South Korean regulators can issue, alongside administrative fines. Under South Korean law, anyone who gains or avoids losses exceeding five billion won through unfair trading could face up to life imprisonment. According to the news report, Bang allegedly misled early investors in 2019 by claiming the company had no plans to go public, prompting them to sell their shares. He is also accused of signing a private agreement with a private equity fund to share 30 per cent of any future profits, later earning nearly 400 billion won (RM1.47 billion). Authorities said the stock price plunged following the share sale, causing 'significant harm' to retail investors. Bang reportedly declined an opportunity to explain himself in person during the probe. Hybe said it would fully cooperate with investigators and work to restore market trust. 'It is unfortunate that the financial regulators did not accept the major shareholder's explanation during the Financial Supervisory Service's investigation, in which he made clear he did not pursue personal gains based on the company's IPO,' the company said in a statement to The Korea Herald. 'Nevertheless, we respect the decision and will do our utmost in the upcoming investigation to actively address the allegations and recover the trust of the market and our stakeholders,' it added. In a separate message posted online, Hybe apologised for the controversy. 'Hello, this is Hybe. We sincerely apologize for causing concern with the recent news related to our company's listing process. 'Regarding the current issues being raised, we are actively cooperating with the financial authorities and the police by submitting detailed explanations and relevant materials to verify the facts. 'Even if the process takes time, we will thoroughly clarify that our IPO at the time was conducted in full compliance with laws and regulations,' it said.
Korea Herald
13 hours ago
- Business
- Korea Herald
BTS producer becomes first tycoon referred to prosecution under new president's toughened financial oversight
Hybe says it will actively clarify Bang Si-hyuk's suspicions to regain trust South Korea's financial regulators have referred Hybe Chairman Bang Si-hyuk to the prosecution on charges of fraudulent trading, accusing him of misleading shareholders during the company's initial public offering and profiting nearly 400 billion won ($287.6 million) in the process. This marks the first time under the Lee Jae Myung administration that authorities have taken such strong disciplinary action against the head of a major conglomerate. Regulators reportedly gave Bang an unusual opportunity to appear in person and explain himself, but he declined to attend. The Financial Services Commission's Securities and Futures Commission held a regular meeting Wedneday and announced that it had referred Bang and former Hybe executives to prosecutors on suspicion of violating the Capital Markets Act, particularly its ban on unfair trading practices. A referral to the prosecution is the most severe action financial regulators can take against an individual accused of violating the law, in addition to administrative penalties. Under the Capital Markets Act, a person who gains or avoids losses of over 5 billion won through unfair trading may face a prison term of five years to life. 'The suspects circumvented the lock-up period meant to prevent major shareholders from offloading shares immediately after listing, and dumped their shares on the market for profit. The nature of this violation is particularly serious,' a financial authority official said via local media outlet. 'The stock price plunged afterward, causing significant harm to ordinary retail investors.' Hybe said it would actively work to clarify the suspicions and restore market trust. 'It is unfortunate that the financial regulators did not accept the major shareholder's explanation during the Financial Supervisory Service's investigation, in which he made clear he did not pursue personal gains based on the company's IPO,' Hybe said in a statement sent to The Korea Herald on Thursday. 'Nevertheless, we respect the decision and will do our utmost in the upcoming investigation to actively address the allegations and recover the trust of the market and our stakeholders,' the company added. According to authorities, Bang allegedly deceived early investors into selling their shares by falsely claiming that Hybe's IPO prospects in 2019 were bleak. He is also believed to have signed a private agreement with a private equity fund that had acquired a large stake in the company, pledging to share 30 percent of any future gains from selling his shares — eventually profiting nearly 400 billion won. In response to this type of misconduct, the Korea Exchange revised its IPO due diligence checklist late last year, adding requirements for underwriters to inspect contracts between shareholders and assess risks to investor protection.
Straits Times
14 hours ago
- Business
- Straits Times
BTS creator faces probe for allegedly misleading investors over K-pop agency Hybe's IPO
SEOUL – Bang Si-hyuk, the billionaire founder of K-pop agency Hybe faces investigation by South Korean prosecutors for allegedly misleading investors ahead of its 2020 initial public offering (IPO). Mr Bang, also known as 'Hitman' Bang, is widely recognized as the creator of the globally successful K-pop group, BTS. He established Big Hit Entertainment in 2005, whose name was later changed to Hybe. BTS earlier in July announced a new album and a world tour after recently completing military service. The Financial Services Commission (FSC) referred the largest shareholder of an unidentified company and its former executives on allegations of deceiving investors and violating trading practices. While the FSC did not name the probe's targets in its statement, a person familiar with the investigation told Bloomberg News the company in question was Hybe. The parties 'deceived existing shareholders by making it seem as if the listing would be delayed' even though the company was preparing for the IPO, the FSC said in the statement. That prompted the existing investors to sell their holdings to a special purpose vehicle that was established by a private equity fund in which the company executives were involved, the statement added. Hybe shares fell as much as 1.3 per cent on July 17, before recovering to trade up 0.8 per cent by 10.50am Seoul time. The stock is up about 39 per cent so far this year. 'The recent movement in Hybe's stock price is driven more by expectations for next year's earnings than by external factors related to chairman Bang,' said Kim Jihyun, analyst at Heungkuk Securities. 'Under Hybe's current multi-label structure, Bang's legal risks are not directly affecting the share price yet.' Hybe said it respects the FSC's decision and will do its best to proactively take efforts to restore the trust of the market as well as stakeholders. It also expressed regret that the FSC rejected Mr Bang's explanation that he did not pursue the IPO for personal gain. Top stories Swipe. Select. Stay informed. Singapore HSA launches anti-vaping checks near 5 institutes of higher learning Singapore Kpod vapes, zombie kids: Why it's time to raise the alarm Opinion The workplace needs to step up on mental health to match Singapore's efforts at the national level Singapore Singapore Zoo celebrates reptile baby boom, including hatchings of endangered species Life First look at the new Singapore Oceanarium at Resorts World Sentosa Business Market versus mission: What will Income Insurance choose? Business Singapore key exports surprise with 13% rebound in June amid tariff uncertainty Opinion AI and education: We need to know where this sudden marriage is heading The Hybe IPO raised about US$820 million (S$1.05 billion), pricing shares at the top of the marketed range. The FSC allege that Mr Bang, whose net worth is estimated at US$2.3 billion, according to the Bloomberg Billionaires Index, had signed a profit-sharing agreement with the private equity fund, but concealed that information during the IPO process. That agreement allowed Mr Bang to collect about 30 per cent of the profits from the share sales after the IPO, the statement added. Mr Bang, 52, is said to have made approximately 190 billion won (S$176 million) through the side transaction, according to Yonhap News. FSC did not reveal the amount Mr Bang made from the side deal. The investigation is the latest controversy to hit Hybe. In 2024, the firm was shaken by a rare public feud involving chart-topping girl group NewJeans, which sought to unilaterally terminate a lucrative exclusive contract with Hybe affiliate Ador. BLOOMBERG
Korea Herald
15 hours ago
- Business
- Korea Herald
BTS producer becomes first tycoon referred to prosecution under Lee's toughened financial oversight
Hybe says it will actively clarify suspicions to regain trust South Korea's financial regulators have referred Hybe Chairman Bang Si-hyuk to the prosecution on charges of fraudulent trading, accusing him of misleading shareholders during the company's initial public offering and profiting nearly 400 billion won ($287.6 million) in the process. This marks the first time under the Lee Jae Myung administration that authorities have taken such strong disciplinary action against the head of a major conglomerate. Regulators reportedly gave Bang an unusual opportunity to appear in person and explain himself, but he declined to attend. The Financial Services Commission's Securities and Futures Commission held a regular meeting Wedneday and announced that it had referred Bang and former Hybe executives to prosecutors on suspicion of violating the Capital Markets Act, particularly its ban on unfair trading practices. A referral to the prosecution is the most severe action financial regulators can take against an individual accused of violating the law, in addition to administrative penalties. Under the Capital Markets Act, a person who gains or avoids losses of over 5 billion won through unfair trading may face a prison term of five years to life. 'The suspects circumvented the lock-up period meant to prevent major shareholders from offloading shares immediately after listing, and dumped their shares on the market for profit. The nature of this violation is particularly serious,' a financial authority official said via local media outlet. 'The stock price plunged afterward, causing significant harm to ordinary retail investors.' Hybe said it would actively work to clarify the suspicions and restore market trust. 'It is unfortunate that the financial regulators did not accept the major shareholder's explanation during the Financial Supervisory Service's investigation, in which he made clear he did not pursue personal gains based on the company's IPO,' Hybe said in a statement sent to The Korea Herald on Thursday. 'Nevertheless, we respect the decision and will do our utmost in the upcoming investigation to actively address the allegations and recover the trust of the market and our stakeholders,' the company added. According to authorities, Bang allegedly deceived early investors into selling their shares by falsely claiming that Hybe's IPO prospects in 2019 were bleak. He is also believed to have signed a private agreement with a private equity fund that had acquired a large stake in the company, pledging to share 30 percent of any future gains from selling his shares — eventually profiting nearly 400 billion won. In response to this type of misconduct, the Korea Exchange revised its IPO due diligence checklist late last year, adding requirements for underwriters to inspect contracts between shareholders and assess risks to investor protection.
