Rumor Kakao plans on buying up to 35% shares of SM (1 Viewer)

[Abeamus]

Mess

Kakao reportedly plans on becoming SM Entertainment‘s largest shareholder by buying up to 35% of SM Entertainment’s shares at a price of ₩150,000 KRW (about $116 USD) per share. The price is 25% higher than the ₩120,000 KRW (about $92.40 USD) HYBE paid last month. If Kakao succeeds, it will become the largest shareholder in SM Entertainment, surpassing HYBE, which has a 19.43% stake.

On March 7, it was reported that Kakao and Kakao Entertainment held an emergency board meeting on March 6, where the decision was made to start publicly acquiring shares from March 7 to March 26. The total price of the takeover is estimated to cost ₩1.25 trillion KRW (about $963 million USD). Kakao and Kakao Entertainment will reportedly shoulder the cost together.

Previously, HYBE revealed that it has so far acquired 233,817 shares on the public market, good for 0.98% of the company, a far cry from the 25% it had planned to purchase. In total, HYBE owns 15.78% of SM Entertainment shares.

Source​

 

[RandAlThor]

This is insane.

i guess hybe could wash their hands of the whole deal and take a instant profit lol.

But that does not fix the problems at SM the managements is JV at best.

And that deal they originally signed is so awful ofc kakao wants to spend to get it..

Hybe got less shares cuz after it was clear that the deal with kakao would be voided the rumors started about this 150 tender offer .. an extra 25 % for siting a month is hard to pass up.

 

[dnb]

This is insane.

i guess hybe could wash their hands of the whole deal and take a instant profit lol.

But that does not fix the problems at SM the managements is JV at best.

And that deal they originally signed is so awful ofc kakao wants to spend to get it..

Hybe got less shares cuz after it was clear that the deal with kakao would be voided the rumors started about this 150 tender offer .. an extra 25 % for siting a month is hard to pass up.

Yes, it's either insane, or there's a lot going on behind the scenes that's factoring into this offer.

 

[Abeamus]

This is insane.

i guess hybe could wash their hands of the whole deal and take a instant profit lol.

But that does not fix the problems at SM the managements is JV at best.

And that deal they originally signed is so awful ofc kakao wants to spend to get it..

Hybe got less shares cuz after it was clear that the deal with kakao would be voided the rumors started about this 150 tender offer .. an extra 25 % for siting a month is hard to pass up.

Well it doesn't seem like Hybe is backing down either as Kakao wanted to buy a bunch of shares for 150k but Hybe is willing to buy shares for 180k so Hybe really wants this to be going against Kakao like that

 

[RandAlThor]

Well it doesn't seem like Hybe is backing down either as Kakao wanted to buy a bunch of shares for 150k but Hybe is willing to buy shares for 180k so Hybe really wants this to be going against Kakao like that

i just wish i bought a bunch of shares in November lol

 

[RandAlThor]

Well it doesn't seem like Hybe is backing down either as Kakao wanted to buy a bunch of shares for 150k but Hybe is willing to buy shares for 180k so Hybe really wants this to be going against Kakao like that

hopefully hybe will retroactively hook the poor guys up who sold at 120..

 

[Abeamus]

i just wish i bought a bunch of shares in November lol

Oh yeah that would've been a very good investment at this rate although it is making me somewhat wonder if the SM drama was intentional since this has actually started a bidding war that is benefitting SM the most

 

[RandAlThor]

Oh yeah that would've been a very good investment at this rate although it is making me somewhat wonder if the SM drama was intentional since this has actually started a bidding war that is benefitting SM the most

and they had been buying back shares from what i read... if so this could get crazy ugly.

 

[Selfmate]

interesting