55

6

News
Posted by Susan-Han Wednesday, August 7, 2024 6,275

Kakao chairman Kim Beom Soo indicted for stock manipulation in SM acquisition bid

AKP STAFF

On August 8 KST, the Seoul Southern District Prosecutor's Office indicted chairman Kim Beom Soo, founder of Kakao, for violation of the Capital Market Act. Kim will face trial while in detainment.

Kim Beom Soo is facing charges of manipulating the prices of SM Entertainment's stocks in February of 2023, when competitor HYBE Labels issued a tender offer at 120,000 KRW in the bid for acquisition of the entertainment agency. To prevent HYBE labels from acquiring SM Entertainment's stocks, Kim and Kakao conspired with the private equity firm One Asia Partners to mobilize over 240 billion KRW (~ $175 million USD), acquiring numerous SM stocks at a high price and fixing the price of the stocks at above HYBE's tender offer. 

Former Kakao CEOs Hong Eun Taek and Kim Sung Soo, facing the same charges, were also indicted without detainment on this day. 

SEE ALSO: SW Entertainment to debut new 5-member girl group U-Dang-Tan-Tan Girls in 2025

  1. misc.
6,275 Share 90% Upvoted

allkpop in your Inbox

THE TOP 10 STORIES DELIVERED DAILY
Lee Da Hae
BTS, V, Min Hee Jin
Jiyeon
Han Seo Hee
Min Hee Jin, NewJeans
Lee Hyori, Lee Sang Soon
AOA, Seolhyun
Ailee, Taeyang, Sooyoung, Gummy, Han Ji Min, IU, Jo Jung Suk, Jung Kyung Ho, Ki Tae Young, Kim Tae Hee, Lee Da Hae, Lee Da In, Lee Jong Suk, Lee Seung Gi, Min Hyo Rin, Rain, Se7en, Eugene
aespa, Lee Soo Man
Buzz
BTS, V, Park Hyo Shin
BTS, V, Min Hee Jin
Red Velvet, Irene
KATSEYE, RIIZE, Seunghan
Suzy
New Message

SEND