On Feb. 10, K-pop entertainment industry Hybe announced that they will purchase 14.8 percent of rival entertainment industry SM’s shares for 422.8 billion won. With such payment, Hybe will officially become SM’s largest shareholder. 

Both SM founder Lee Soo-man and Hybe express their satisfaction with the transaction, as Lee hopes to diversify his work portfolio whilst Hybe wishes to establish greater stability in the competitive K-pop industry. 

Contrary to Lee’s willingness to accept this purchase, other senior executives have voiced their concern and disapproval. For example, co-CEOs Lee Sung-soo and Tak Young-joon argue that Lee’s approval will only undermine the company and the artists’ efforts to grow SM. 

“I think it is difficult to define if it is a good or bad decisison,” Yujin Lee (11), K-pop follower, said. “Personally, I think it may be a good idea, because SM is a big company so I don’t think they will be really hurt by this deal.”

There lies ambiguity as to whether this transaction will be accepted; however, the deal expresses Hybe and SM’s growing desires to establish stability in the everchanging K-pop industry.