The intense competition between the two big companies Kakao Entertainment and Naver in taking over shares of SM Entertainment has been confirmed by the agency if they are in discussion regarding this matter.
The competition between Kakao Entertainment and Naver to get as much K-Content as possible, such as webtoons, web novels and music, has become the subject of public discussion. However, these two big companies are reportedly competing to take over the shares of SM Entertainment in order to get a big profit in the K-Pop industry market.
Previously it was reported that Kakao Entertainment had negotiated with SM Entertainment and made an offer to win he acquisition against Naver. If his party manages to take over, then Kakao Entertainment will benefit from many things such as collaborating with popular SM artists such as EXO, NCT and many more.
The two large companies are rumored to be taking over the shares of SM Entertainment, which is owned by Lee Soo Man by 19.21 percent. With this news, SM Entertainment also gave a statement to clarify what was happening on Thursday (27/5).
"The following is an explanation (unconfirmed) regarding the report entitled 'Naver & Kakao, Competing to Take Over SM Ent Shares' which was released on 27 May 2021. It is true that we are currently negotiating with an open choice regarding business partnerships and stock investment, but until now "No official decision has been taken at all. We will officially announce it a month from now or when related matters have been decided," said the representative of SM Entertainment.
As is known, the agency founded by Lee Soo Man existed in 1995 and is also officially the largest shareholder in the agency. Recently, through NCT Dream has lifted back SM Entertainment's revenue after releasing the album "Hot Sauce". NCT Dream has topped various music charts, including the Japanese Oricon Weekly chart with their first full album "Hot Sauce".
In fact, NCT Dream is a group under SM Entertainment which has the highest pre-order numbers reaching 2 million copies among other groups. Even though it has stated that they are discussing stocks, the two companies and SM Entertainment have reached a good agreement. /Kanal247.com
