Bang Si Hyuk apologizes for upsetting fans and artists in attempting to buy out SM Entertainment Soompi
Bang Si Hyuk spoke about HYBE’s attempted takeover of SM.
As a reminder, HYBE had acquired Lee Soo Man’s shares in SM Entertainment and planned to become the controlling shareholder of SM Entertainment.
However, the company failed to purchase new stock and HYBE eventually announced that it was giving up and withdrawing from the fight for SM Entertainment, freeing Kakao to become the controlling shareholder of SM Entertainment.
Then, on March 15, Bang Si Hyuk made several revelations.
He revealed: “It was not my personal vision to take over SM Entertainment. »
Then he added: “Since 2019, HYBE has been pointing to the acquisition of SM Entertainment. HYBE made two offers but were rejected. Internally, there was both support and resistance to the takeover. Those who supported him found it necessary to use their power to expand our global reach. The opposition thought it better to invest this huge sum in the future of the world market. At that point, as a leader, I decided we needed to look to the future, and he wasn’t sure if we needed that now. And so we said goodbye to an acquisition. »
HYBE had therefore been rejected twice in its contacts with SM Entertainment before Lee Soo Man Bang contacted Si Hyuk to offer him an alliance.
Bang Si Hyuk said: “Lee Soo Man asked me what I thought of the stock acquisition, and many factors opposing the acquisition of SM Entertainment disappeared by then. I thought it was good to lead the acquisition at the time, so I said yes. The competitive and overheated acquisition struggle that ensued was not planned. I decided we couldn’t engage in this by watching a war that disrupted market order and damaged our shareholder value. »
Finally he stated: “When we started this we thought about a brighter future for artists and fans, but as management we regret not being able to do that in the process. I was so sorry that I disturbed the fans and artists so much that I couldn’t sleep at night. »