Hybe Becomes the Largest Shareholder of SM Entertainment, its Biggest Rival in Korea

Deal has the potential to put HYBE in the same league as the “big three” major record labels: Sony, Universal, and Warner Music.

Hybe, the agency of the supergroup BTS, made a public announcement on Feb. 10th that it would acquire 14.8% of the shares held by Soo-man Lee, the major shareholder of SM, for 442.8 billion won ($334.5 million).

Hybe is about to create a super large ‘dinosaur’ agency with its own BTS, Seventeen, Tomorrow X Together, Enhypen, NewJeans, and Le Serphim with SM’s BoA, Exo, Super Junior, Girls’ Generation, SHINee, NCT, and Espa under one roof.

Hybe said, “The acquisition of SM is to become a game changer in the global pop music market by concentrating the global capabilities of both companies.”