Latest news with #SMEntertainment
Bloomberg
34 minutes ago
- Business
- Bloomberg
K-Pop Giant Hybe Opens Office in Beijing to Tap Chinese Market
Hybe Co., the company behind K-pop sensation BTS, has opened its first office in China in the wake of rising expectations that Beijing will soon lift a near-decade-long ban on Korean pop performances in the mainland. K-pop's largest company opened an outpost in Beijing last month, according to a Hybe spokesperson. That comes as Hybe and rival SM Entertainment Co. have ramped up their China business teams over the past few months.
Forbes
10 hours ago
- Business
- Forbes
Tencent Music Buys $177 Million Stake In K-Pop Giant SM Entertainment
SM Entertainment's K-pop girl group Aespa at a media showcase in Seoul, South Korea. Chinese billionaire Ma Huateng's tech giant Tencent is set to acquire a nearly 10% stake in K-pop agency SM Entertainment from billionaire Bang Si-hyuk's rival agency Hybe, as thawing relations between China and South Korea have signaled a potential rise in demand for Korean cultural exports. Tencent Music Entertainment Group, Tencent's online music arm, will purchase Hybe's 2.2 million shares in SM Entertainment for 243 billion won ($176.6 million), according to a Hybe corporate filing Tuesday. The shares, which Hybe will dispose of in an after-hours block trade on May 30, are priced at 110,000 won apiece, representing a discount of roughly 15% from their price of 130,000 won at Tuesday's market close. Upon the sale, Tencent Music will hold a 9.7% stake in SM Entertainment, making it the second-largest shareholder of the K-pop agency after billionaire Kim Beom-su's Kakao and its entertainment affiliate. The Korean internet giant owns a combined 41.5% stake in SM Entertainment, between Kakao Corp. (with 21.6%) and its subsidiary Kakao Entertainment (19.9%). Tencent also owns a 5.95% stake in Kakao Corp. Hybe stated in its filing that the purpose of its share sale is 'optimizing investment asset management efficiency.' Tencent Music and SM Entertainment did not immediately respond to a request for comment. 'Amid recent tariff turmoil, K-pop industry remains defensive and relatively insulated from direct tariff risks,' researchers from Global X, an ETF provider of Mirae Asset Global Investments, wrote in a monthly commentary report published last Tuesday. 'Furthermore, the sector stands to gain from improving Korea-China relations, as the potential reopen of China market could unlock significant growth opportunities.' Other factors, including the comeback of leading artists and the rise of new ones, could also play a role in improving the industry's fundamentals, the researchers added. SM Entertainment, in particular, may expect to benefit from 'upcoming releases from key artists such as Aespa, NCT WISH, and RIIZE.' Hybe's world-record-shattering boy band BTS, which has scored six No. 1 albums on the U.S. Billboard 200, may reunite as early as this June upon the seven members' completion of their mandatory military service. Hybe's K-pop boy group BTS attending the 64th Annual Grammy Awards. Tencent Music's latest investment aligns with rising hopes across the entertainment industry that Beijing may lift its unofficial ban on K-pop performances. Following Seoul's 2016 decision permitting the U.S. military to deploy a missile defense system in South Korean airspace, regulators effectively barred K-pop concerts from taking place in mainland China, while also restricting streaming platforms from releasing Korean-language TV shows and movies. The first sign of detente came in late April, when Epex, a K-pop boy band managed by C9 Entertainment, announced on April 30 it would perform a concert in Fuzhou, the capital city of China's southeastern province of Fujian. But less than two weeks later, on May 10, the concert was indefinitely postponed, with C9 Entertainment citing unspecified 'issues' in the region. Reopening China's borders to concerts and other live performances would be a boon to major K-pop agencies, which rely on ticket and merchandise sales as key revenue streams. SM Entertainment reported its revenue reached 231.4 billion won in the first quarter, with concert revenue rising 58% year-over-year to 39 billion won. Another source of revenue for K-pop agencies is capitalizing on fan engagement, chiefly through apps that offer paid subscriptions for fans to directly message celebrities or join exclusive livestreams. Tencent announced last October it would partner with an SM Entertainment subsidiary, DearU, to launch its fan engagement app, Bubble, in China. Slated to enter the market by June, Bubble may face steep competition from other popular apps like Hybe's Weverse, which announced in April that it reached 9.4 million monthly active users and 150 million cumulative downloads by the end of 2024. The share purchase marks Tencent's solidified role among Korea's leading 'Big 4' music agencies—Hybe, JYP Entertainment, SM Entertainment and YG Entertainment—with each agency distinguished by a handful of marquee acts. Tencent Music owns a 4.3% stake in YG Entertainment, known for its landmark girl group Blackpink, which made the 30 Under 30 Asia list in 2019; JYP's artists include girl group Twice, which made the list in 2020, and boy group Stray Kids, which made the list this year.
Pink Villa
19 hours ago
- Entertainment
- Pink Villa
Why are fans of Karina from aespa 'unstanning' her? Learn about controversial post that made SM Entertainment apologize
aespa's Karina recently came under public scrutiny after uploading photos to her personal Instagram account. Many interpreted it as a subtle political statement. The post, shared on May 27, featured Karina dressed in a black and red varsity-style jacket with the number two prominently displayed. It was accompanied by a simple rose emoji as the caption. Although seemingly innocent at first glance, the outfit quickly ignited intense debate among Korean netizens. They connected the imagery with South Korea's ongoing presidential election campaign. With the country preparing for the 21st Presidential Election, symbols such as colors and candidate numbers are closely associated with political identities. Here's Karina's now-deleted Instagram post: In this context, red is widely recognized as the official color of the People Power Party, the current ruling party. The number two, meanwhile, is associated with Kim Moon Soo, one of the leading candidates in the upcoming election. Many online users interpreted Karina 's red jacket and the number on it as a subtle show of support for Kim. While Karina made no direct reference to any political candidate, and her caption lacked any clear political message, speculation surged across online communities. Posts about her outfit and its supposed meaning spread rapidly on Korean forums. Some commenters accused the idol of engaging in indirect political endorsement. The backlash was swift. Within hours of posting the photo, Karina deleted it from her account, likely in response to the growing criticism. Fans and critics alike debated whether the post was intentionally suggestive or simply an unfortunate coincidence. SM Entertainment apology Shortly afterward, SM Entertainment, Karina's agency, released an official statement addressing the controversy. The company clarified that the post was not meant to convey any political message and apologized for the confusion it caused. 'There were no hidden intentions or purposes by her upload and she immediately deleted the post after realizing there could be misunderstandings,' SM Entertainment stated. 'We are truly sorry for unintentionally causing concern.' The agency further added that it would be taking additional steps to prevent similar issues in the future. 'We hope that the artist's intentions [on making the post] will no longer be distorted or framed with certain intentions,' they said. While Karina has not made any direct statement about the issue, a section of fans have flooded social media with messages of support. They urged others to give her the benefit of the doubt.
Hindustan Times
19 hours ago
- Entertainment
- Hindustan Times
aespa's agency issues clarification, apologises after Karina shares, then deletes post
The agency of Karina, a member of the K-pop group aespa, has issued a clarification after she posted and deleted several of her photos on Instagram. As per Soompi, on Tuesday, Karina posted her pictures, wearing a jacket with red accents and the number 'two' written on it. She posted it on the platform along with a red rose emoji. (Also Read | aespa's Karina and Lee Jae Wook have broken up because of 'mental strain': Agency confirms) A section of people on social media platforms questioned whether she was supporting a South Korean political party ahead of the upcoming presidential election. On Wednesday, SM Entertainment issued a statement saying that Karina simply posted the photos with "absolutely no other intention or purpose." The agency also apologised for causing any distress to its fans. The statement read, as reported by Soompi, "This is SM Entertainment. We apologise for causing concern due to our artist Karina's recent post. Karina simply shared something from her daily life on social media, with absolutely no other intention or purpose. Once she realised that the post could be misunderstood, she immediately deleted it. We sincerely apologise for any distress this may have caused unintentionally." SM Entertainment added that it will make sure that any misunderstanding in the future are avoided. "Our agency will also be more careful and make greater efforts to prevent such incidents from happening in the future. We hope that our artist's intentions will no longer be misrepresented or consumed with a particular agenda, and we will do our utmost to protect Karina and all of our artists. Thank you," concluded the statement. aespa, comprising Karina, Giselle, Winter, and Ningning, debuted in 2020 with the single Black Mamba. Their third single, Next Level, was released in May 2021. The same year, aespa released their first extended play (EP), Savage. In 2022, aespa released their second EP Girls. Their third EP, My World, released in 2023. The group released their first studio album, Armageddon, in 2024.
Malay Mail
20 hours ago
- Business
- Malay Mail
Hybe sells entire SM Entertainment stake in RM618m deal, making China's Tencent second-largest shareholder
SEOUL, May 28 — K-pop agency HYBE will sell its entire 9.38 per cent stake in SM Entertainment to China's Tencent for 200 billion won (RM618 million). In a regulatory filing yesterday, HYBE said it will offload 2,212,237 shares at 110,000 won each. That price is lower than SM Entertainment's closing share price of 129,900 won on the Korea Exchange the same day, Korea JoongAng Daily reported. 'We divested noncore assets as part of a choice and concentration strategy,' HYBE said in the filing. 'Secured funds will be used to secure future growth engines,' it added. The block trade is scheduled for completion after the market closes on Friday. HYBE acquired the stake in 2023 during a high-profile battle to gain management control of SM Entertainment. It initially bought 14.8 per cent of SM Entertainment from founder Lee Soo-man, before selling 8.62 per cent to Kakao in March 2023 and another 3 per cent later that year. Tencent will become SM Entertainment's second largest shareholder after the deal, following Kakao and Kakao Entertainment, which hold a combined 41.5 per cent stake. 'We will strengthen our partnership with Tencent Music Entertainment,' SM Entertainment said. SM Entertainment manages major K-pop acts including NCT, aespa and WayV, a group focused on the China market.
