![](https://i.imgur.com/CLvY2jA.png")
23-07-2024, 09:44 AM
Kakao founder Kim Beom-su has been arrested on charges of manipulating SM Entertainment’s stock prices. Known as the “father of KakaoTalk,” Kim established the company’s Management Innovation Committee in November last year to lead organizational reforms and help Kakao navigate its crisis.
Kakao’s legal troubles began in February last year, when the company bid to acquire SM Entertainment.
Kakao aimed to combine SM’s artist intellectual property, discovery expertise, and business capabilities with its own to enter the global entertainment market.
Authorities suspect that Kakao invested 240 billion won to inflate SM’s stock price to fend off competition from HYBE, thereby engaging in stock price manipulation. Kakao is also accused of failing to disclose its ownership of over 5% of SM shares, violating bulk shareholding reporting regulations.
https://www.chosun.com/english/industry-...TD3ROEXLI/
Kakao’s legal troubles began in February last year, when the company bid to acquire SM Entertainment.
Kakao aimed to combine SM’s artist intellectual property, discovery expertise, and business capabilities with its own to enter the global entertainment market.
Authorities suspect that Kakao invested 240 billion won to inflate SM’s stock price to fend off competition from HYBE, thereby engaging in stock price manipulation. Kakao is also accused of failing to disclose its ownership of over 5% of SM shares, violating bulk shareholding reporting regulations.
https://www.chosun.com/english/industry-...TD3ROEXLI/
