[SM ENTERTAINMENT]
SM Entertainment is considering selling its subsidiaries in order to concentrate on its core music businesses amid the conflict between its founder and CEOs.
“We are currently reviewing whether to sell our non-primary assets, which was one of the terms of agreement we had with Align Partners Capital Management on Jan. 20,” an SM spokesperson said Friday.
Align Partners Capital Management, with a 1.1 percent share in the company, acts as a representative of the small shareholders of SM Entertainment and has led multiple changes within the company such as adding three extra outside directors to the board.
Local media outlets had prematurely reported on Thursday that SM Entertainment would be selling shares of three of its subsidiaries — Dear U Bubble, SM C&C and Keyeast — and is searching for a consulting company in a move to focus on its primary business surrounding its artists and music production.
The SM spokesperson on Friday partially denied the reports, saying that Dear U Bubble is not being considered, but did not clarify whether or not the other two subsidiaries were being considered.
BY LEE JAE-LIM [[email protected]]
