HYBE
The ongoing dispute between K-pop breakout group NewJeans and its agency ADOR, a HYBE subsidiary, escalated this week as the Seoul Central District Court approved a stricter legal measure restricting the group’s independent activities. In a ruling issued Friday (May 31), the court granted ADOR’s request for indirect compulsory enforcement, ordering each member of the group — Minji, Hanni, Danielle, Haerin and Hyein — to pay 1 […]
Amidst new reports about a South Korean investigation into its chairman, HYBE shares fell 6.8% to 266,000 KRW ($192.69) during the week ended May 30. That was the biggest decline for a music stock in a week marked by modest gains and losses.
Reports out of South Korea this week said police in Seoul have resubmitted a search and seizure warrant for HYBE chairman Bang Si-hyuk in an investigation into allegations of fraudulent stock transactions by the music mogul. Bang allegedly misled previous shareholders about HYBE’s intention to go public, which caused them to sell HYBE shares ahead of the company’s initial public offering in 2020. Sources told Yonhap News Agency that Bang netted $291 million in 2020 from deals with private equity firms to share a portion of the gains from HYBE’s IPO.
The 20-company Billboard Global Music Index (BGMI) was unchanged at 2,800.84 as the index had an even number of winners and losers. In a week with a remarkable amount of unremarkable movement, the majority of companies fell within a narrow band between a 2% gain and a 1% loss.
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Music stocks underperformed numerous market indexes. In the U.S., the Nasdaq gained 2.0% to 19,113.77 and the S&P 500 rose 1.9% to 5,911.69. The U.K.’s FTSE 100 climbed 0.6% to 8,772.38. South Korea’s KOSPI composite index jumped 4.1% to 2,697.67. China’s SSE composite was flat at 3,347.49.
But music stocks have posted big gains in 2025. The BGMI is up 31.8%, far surpassing the gains of the Nasdaq (14.2%) and the S&P 500 (up 12.0%). Spotify, the index’s most valuable component, has risen 42.8%. Universal Music Group (UMG), the BGMI’s second-largest company, has gained 17.8%.
The lone music company to report earnings this week, Reservoir Media, rose 7.9% to $7.80. The quarterly earnings released on Wednesday (May 28) showed a 10% revenue gain and a 14% improvement in adjusted EBITDA. Meanwhile, the only company to post a double-digit gain was Cumulus Media, which rose 15.4% to $0.15. Cumulus tends to have wild swings, however, since it was delisted from the Nasdaq on May 2 and began trading over the counter.
iHeartMedia jumped 6.5% to $1.31. Spotify, the BGMI’s fourth-best performer, rose 1.9% to $666.25. Madison Square Garden Entertainment improved 1.5% to $37.11, and UMG gained 1.4% to 28.16 euros ($31.95).
Live Nation fell 5.4% to $137.24, lowering its year-to-date gain to 6.0%. On Thursday, the company fell 2.9% on heavier-than-average trading volume following reports that it canceled concerts at Boston’s Fenway Park by Shakira and Jason Aldean due to safety concerns about the venue’s stage.
Both Chinese music streamers had off weeks that reduced their stellar year-to-date performances. Tencent Music Entertainment (TME) fell 4.0% to $16.82, lowering its year-to-date gain to 50.9%. Netease Cloud Music, the BGMI’s biggest gainer of 2025 at 88.2%, fell 2.9% to 211.20 HKD ($26.94).
Billboard
Billboard
Billboard
HYBE has disclosed the sale of its remaining 9.38% stake in rival SM Entertainment to Tencent Music Entertainment (TME), a subsidiary of Chinese tech giant Tencent. The deal, valued at approximately 243.35 billion South Korean won (approximately $177 million), involves the transfer of 2.21 million shares at 110,000 won per share and is set to close on May 30, according to a new regulatory filing.
This transaction marks HYBE’s complete exit from SM Entertainment, a powerhouse K-pop agency behind acts like EXO, aespa and NCT 127.
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HYBE initially entered SME in 2023, acquiring a 14.8% stake from founder Lee Soo Man and later raising its holding to 15.78% through a failed takeover bid, ultimately losing out to Kakao, which now holds a 40.28% stake. After reducing its stake to 9.38% in May 2024, HYBE has now sold its remaining shares.
Why get out of the SME business? HYBE said on Tuesday that it has “divested noncore assets as part of a choice and concentration strategy” and that “secured funds will be used to secure future growth engines.”
TME’s acquisition makes it the second-largest shareholder in SME, behind Kakao. It operates leading Chinese music platforms such as QQ Music and Kugou Music and has existing ties to K-pop through partnerships with HYBE and others. TME also holds minority stakes in YG Entertainment and Kakao Entertainment, signaling its broader strategy to expand influence in the global K-pop landscape.
For SME, the deal could strengthen its reach in the Chinese market and enhance its digital distribution, artist promotion and content collaborations through Tencent’s various platforms. SME is coming off a strong Q1, with revenue up 5.2% year-over-year, driven by strong growth in concerts and recorded music. Concert revenue surged 58% thanks to tours by NCT 127, aespa and others, and recorded music rose 23.1%, led by Hearts2Hearts’ debut.
The acquisition reflects TME’s ongoing investment in Korean assets and sets the stage for deeper cross-border collaboration in music and media. It also marks the latest shift in the balance of power within the K-pop industry, highlighting the growing influence of Chinese tech giants in South Korea’s entertainment sector.
Meanwhile, HYBE is repositioning itself for future expansion, using the proceeds from this sale to invest in new ventures. The company continues to grow globally with its roster of artists including BTS, NewJeans and SEVENTEEN, and remains focused on developing next-gen platforms and talent. In the first quarter, HYBE reported strong financial performance despite a 5.9% drop in recorded music revenue. Total revenue rose 38.7% year-over-year, driven by a 252% surge in concert revenue and a 75.2% increase in merch and licensing. HYBE also expanded into Latin America with festivals and a music competition show.
After shaping some of the biggest acts in global pop, HYBE is setting its sights on Latin music with an ambitious new reality series from its subsidiary, HYBE Latin America. Billboard has exclusively learned that production kicks off this week in Mexico City on the yet-to-be-titled project, which aims to form a new all-male pop group.
The series will train and develop 16 contestants from countries including Mexico, Brazil, the U.S., Peru and Spain, narrowing the field to a final five by the end of the season this fall.
The series’ format and execution differs from other reality talent competition in multiple key ways. First and foremost, it’s HYBE’s first artist development venture of this scale focused entirely on Latin talent, combining the development discipline the company has applied in K-pop with Latin American cultural and artistic sensibility.
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Further, instead of airing as a carefully formatted weekly television show, the reality show is a multi-platform production that integrates long-form storytelling, performance content and behind-the-scenes narratives distributed across streaming, social and music platforms.
The project also features a roster of mentors that may be unprecedented in a Latin reality show. It includes director and choreographer Kenny Ortega (High School Musical, The Descendants) as executive producer; Charm La’Donna (Kendrick Lamar’s 2024 Super Bowl, Bruno Mars) as head choreographer; and Robert J “RAab” Stevenson (SZQ, Rihanna) as head vocal coach.
“This project is about much more than music. It’s about reimagining how Latin talent can be discovered, developed and presented to the world. We are building the foundation for the next generation of global Latin artists with the highest creative and production standards,” said J.H. Kah, CEO of HYBE Latin America, who is leading efforts on the venture, in a statement.
The new project joins a roster of properties that includes newly-announced talent competition Pase a la Fama, which HYBE Latin America developed with Telemundo. The competition show seeks to find the next regional Mexican band and premieres on Telemundo June 8 with Ana Bárbara, Horacio Palencia and Adriel Favela as judges.
This show, however, doesn’t have a partner network.
While contestants officially arrive in Mexico this week (beginning May 12), preproduction for the show has been underway for months. Hundreds of applications poured in from across Latin America and the U.S., leading to an initial shortlist of 300 candidates. From there, 16 finalists were selected to begin intensive training at a custom-built “bootcamp” located in Mexico City’s Parque Bicentenario.
The bootcamp will include some 30 instructors, including vocal coaches, producers, fitness trainers and choreographers and is supported by Weverse, HYBE’s extremely successful social media/fandom platform.
HYBE Latin America
courtesy of HYBE Latin America. ©️ 2025 HYBE Corporation.
Make no mistake — this is a distinctly Latin production. The show is being helmed by two seasoned Colombian producers: showrunner Jaime Escallón (X Factor, Survivor) and production designer Lucas Jaramillo. Both serve as executive producers and co-creators of the format, with a clear mission to build a production environment that authentically reflects Latin culture.
“This is different from other talent reality shows in that it takes place in a space designed for the city to participate in,” says Jaramillo, noting that production is working closely with Mexico City government and fans will be allowed to actually visit the space and be part of performances and media experiences. “That’s why we’ve developed a cultural program that’s both artistic and media driven, and includes things like podcasts. This is a show that’s alive.”
The project is HYBE Latin America’s latest venture after launching in 2023 with the acquisition of Exile Music, the music division of Spanish-language studio Exile Content, led by Isaac Lee, who is now chairman of HYBE Latin America. The company has moved quickly since then. With offices in Mexico City, Miami, and Los Angeles, the division houses labels such as DOCEMIL Music and Zarpazo Entertainment.
Though economic uncertainty lingers, some music companies’ stocks got boosts following their first quarter earnings releases this week, while a better-than-expected jobs report on Friday (May 2) lifted stocks across the board.
K-pop companies were among the top performers of the week. Led by HYBE’s 13.8% gain following its first quarter earnings report on Tuesday (April 29), the four South Korean companies had an average share price gain of 10.3%. JYP Entertainment rose 11.7% and SM Entertainment, which announces earnings on Wednesday (May 7), improved 9.0%. YG Entertainment gained 6.6%.
The 20-company Billboard Global Music Index (BGMI) rose 3.6% to 2,690.13, its fourth consecutive weekly improvement. At 2,690.13, the BGMI has improved 19.1% since a two-week slide and stands just 2.4% below its all-time high of 2,755.53 set during the week ended Feb. 14.
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Music stocks slightly outperformed the Nasdaq and S&P 500, which rose 3.4% and 3.1%, respectively. Foreign markets were mostly positive but more subdued. The U.K.’s FTSE 100 rose 2.2%. South Korea’s KOSPI composite index gained 0.5%. China’s SSE Composite Index lost 0.5%.
Universal Music Group (UMG) gained 4.3% to 25.86 euros ($29.23) following a quarterly earnings report showing that recorded music subscription revenue grew 11.5% and overall revenue improved 11.8%. JP Morgan analysts’ conviction on UMG “remains very high,” and the strong quarter “should help rebuild confidence and share price momentum” dented by Pershing Square’s sale of $1.5 billion in UMG shares, analysts wrote in an investor note on Tuesday.
Spotify finished the week up 3.7% to $643.73 despite its shares dropping 3.4% on Tuesday after the company’s first-quarter earnings report included guidance on second-quarter subscription additions that seemed to underwhelm investors. Gross margin of 31.6% beat Spotify’s 31.5% guidance. Loop Capital raised Spotify to $550 from $435, while Barclays lowered it to $650 from $710. UBS maintained its $680 price target and “buy” rating. Guggenheim maintained its “buy” rating and $675 price target.
Live Nation, which reported first quarter earnings on Thursday (May 1) and predicted a “historic” 2025, gained 2.3% on Friday and finished the week up 0.7%. A slew of analysts updated their price targets on Friday. Two were upward revisions: Jefferies (from $150 to $160) and Wolfe Research (from $158 to $160). Two were downward revisions: Rosenblatt (from $174 to $170) and JP Morgan (from $165 to $170).
Nearly all streaming stocks posted gains. LiveOne was the week’s top performer, jumping 18.0% to $0.72. Chinese music streaming companies Cloud Music and Tencent Music Entertainment gained 11.6% and 7.1%, respectively. French music streamer Deezer gained 1.4% to 1.44 euros ($1.63) after the company’s first-quarter earnings on Tuesday. Abu Dhabi-based Anghami fell 3.1% to $0.62.
Cumulus Media fell 33.% to $0.14. Most of the decline came on Friday as the stock ceased trading on the Nasdaq and began trading over the counter.
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While many public companies are struggling amid the backdrop of macroeconomic uncertainty and the looming threat of global tariffs, music company executives are beating the drum for music as a stable place to invest. Despite a plateauing of the growth curve, revenue from streaming subscriptions continues to drive relative stability at Spotify, Unversal Music Group […]
South Korea’s HYBE used its artists’ heavy touring schedule and strong merchandise and licensing revenues to overcome a slight drop in recorded music sales in the first quarter of 2025.
In the historically slow first quarter, total revenue rose 38.7% to 500.6 billion KRW ($350 million), the second-lowest quarterly revenue since the first quarter of 2023. Earnings before interest, taxes, depreciation and amortization (EBITDA) of 47.3 billion KRW ($33 million) was up 19% from the prior-year period.
“Typically, the first quarter is a period when artists take a break after busy year-end activities and prepare for new albums and projects,” CFO Kyungjun Lee said during the earnings call Tuesday (April 29). “Therefore, in Q1, we had relatively fewer album releases and content offerings, thus posting a slightly lower profitability compared to the prior quarter.”
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Recorded music revenue fell 5.9% to 136.5 billion KRW ($95 million), with streaming accounting for almost half of recorded music sales, said CEO Jaesang Lee. “While album sales fluctuate quarter over quarter depending on release schedules, steady streaming revenue serves as a stable source of profit. Streaming helps mitigate recorded music sales volatility in quarters like this quarter, when the number of new albums is relatively smaller.”
Concerts revenue jumped 252% to 155.2 billion KRW ($108 million). CEO Lee cited the “huge success” of tours in South Korea, the U.S., Japan and elsewhere in Asia by J-Hope, TOMORROW X TOGETHER, ENHYPEN and BOYNEXTDOOR. Additionally, J-Hope’s solo shows in Mexico “marked the beginning of active expansion to the Latin market,” he added.
Merchandise and licensing improved 75.2% to 106.4 billion KRW ($74 million). Whereas concert-related merchandise was most popular in the past, HYBE has found success with artists’ character-driven merchandise, such as for Seventeen’s MINITEEN, a group of animal representatives for the band. “All the character products have been selling really quickly, and many items are in high demand, resulting in additional rounds of pre-order sales,” said CFO Lee.
Content revenue fell 32.7% to 41.2 billion KRW ($29 million). It included sales of the Seventeen in Carat Land Memory Book and BTS 7 Moments, an archive of group members throughout 2022 and 2023 that includes a 66-minute video and 180-page photo book.
CEO Lee also teased details of Big Hit Music’s upcoming boy band that will debut in the third quarter of 2025. He described the five-member group as “a next generation creator crew that pursues self-expression in completely new styles and senses” and will perform “very original music that has not existed in the past.”
Separately, a seven-member, all-Japanese boy band called aeon will debut in June. Created by YX Labels, HYBE’s Japanese operation, the group formed from a TV show that aired in Japan on Nippon TV from February to April.
HYBE Interactive Media (HYBE IM) secured an additional KRW 30 billion ($21 million) investment, with existing investor IMM Investment contributing another KRW 15 billion ($10 million) in follow-on funding. Shinhan Venture Investment and Daesung Private Equity joined as new investors in the company, which plans to expand its game business using HYBE’s K-pop artist IPs. To date, HYBE IM has raised a total of KRW 137.5 billion ($100 million). With the new money, the company plans to enhance its publishing capabilities and execute its long-term growth strategy by allocating it to marketing, operations and localization strategies to support the launch of its gaming titles.
Live Nation acquired a stake in 356 Entertainment Group, a leading promoter in Malta’s festival and outdoor concert scene that operates the country’s largest club, Uno, which hosts more than 100 events a year. The two companies have a longstanding partnership that has resulted in events including Take That’s The Greatest Weekend Malta and Liam Gallagher and Friends Malta Weekender being held in the island country. According to a press release, 356’s festival season brought 56,000 visitors to the island, generating an economic impact of 51.8 million euros ($56.1 million). Live Nation is looking to build on that success by bringing more diverse international acts to the market.
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ATC Group acquired a majority stake in indie management company, record label and PR firm Easy Life Entertainment. The company’s management roster includes Bury Tomorrow, SOTA, Bears in Trees, Lexie Carroll, Mouth Culture and Anaïs; while its label roster boasts Lower Than Atlantis, Tonight Alive, Softcult, Normandie, Amber Run, Bryde and Lonely The Brave. Its PR arm has worked on campaigns for All Time Low, 41, Deaf Havana, Neck Deep, Simple Plan, Travie McCoy and Tool.
Triple 8 Management partnered with Sureel, which provides AI attribution, detection, protection and monetization for artists. Through the deal, Triple 8 artists including Drew Holcomb & the Neighbors, Local Natives, JOHNNYSWIM, Mat Kearney and Charlotte Sands will have access to tools that allow them to opt-in or opt-out of AI training with custom thresholds; protect their artist styles from being used in AI training without consent by setting time-and-date stamp behind ownership; monetize themselves in the AI ecosystem through ethical licensing that can generate revenue for them; and access real-time reporting through Sureel’s AI dashboard. Sureel makes this possible by providing AI companies “with easy-to-integrate tools to ensure responsible AI that fully respects artist preferences,” according to a press release.
Merlin signed a licensing deal with Coda Music, a new social/streaming platform that “is reimagining streaming as an interactive, artist-led experience, where fans discover music through community-driven recommendations, discussions, and exclusive content” while allowing artists “to cultivate more meaningful relationships with their audiences,” according to a press release. Through the deal, Merlin’s global membership will have access to Coda Music’s suite of social and discovery-driven features, allowing artists to engage with fan communities by sharing exclusive content and more. Users can also follow artists and fellow fans on the platform and exchange music recommendations with them.
AEG Presents struck a partnership with The Boston Beer Company that will bring the beverage maker’s portfolio of brands — including Sun Cruiser Iced Tea & Vodka, Truly Hard Seltzer, Twisted Tea Hard Iced Tea and Angry Orchard Hard Cider — to nearly 30 AEG Presents venues nationwide including Brooklyn Steel in New York, Resorts World Theatre in Las Vegas and Roadrunner in Boston, as well as festivals including Electric Forest in Rothbury, Mich., and the New Orleans Jazz & Heritage Festival.
Armada Music struck a deal with Peloton to bring an exclusive lineup of six live DJ-led classes featuring Armada artists to Peloton studios in both New York and London this year. Artists taking part include ARTY and Armin van Buuren.
Venu Holding Corporation acquired the Celebrity Lanes bowling alley in the Denver suburb of Centennial, Colo., for an undisclosed amount. It will transform the business into an indoor music hall, private rental space and restaurant.
Secretly Distribution renewed its partnership with Sufjan Stevens‘ Asthmatic Kitty Records, which has released works by Angelo De Augustine, My Brightest Diamond, Helado Negro, Linda Perhacs, Lily & Madeleine, Denison Witmer and others. Secretly will continue handling physical and digital music distribution, digital and retail marketing, and technological support for all Asthmatic Kitty releases.
Symphonic Distribution partnered with digital marketing platform SymphonyOS in a deal that will give Symphonic users discounted access to SymphonyOS via Symphonic’s client offerings page. Through SymphonyOS, artists can launch and manage targeted ad campaigns on Meta, TikTok and Google; access personalized analytics for a full view of fan interactions across platforms; build tailored pre-save links, link-in-bio pages and tour info pages; and get AI-powered real time recommendations to improve marketing campaigns.
Bootleg.live, a platform that turns high-quality concert audio into merch, partnered with Evan Honer and Judah & the Lion to offer fans unique audio collectibles on tour. Both acts are on tour this fall. The collectibles, called “bootlegs,” are concert recordings taken directly from the board, enhanced using Bootleg’s proprietary process, and combined with photos and short videos.
HYBE America has partnered with Alan Chikin Chow, creator of the scripted YouTube series Alan’s Universe, to form a new pop group that will be introduced to audiences through a streaming series, it was announced on Thursday (April 3).
The partnership, dubbed HYBE AMERICA X AU, will kick off with a global talent search to form the group, which will be composed of three women and three men. Those chosen will undergo HYBE’s rigorous K-pop development system in Los Angeles. The resulting series, which will be executive produced by Chow alongside HYBE America president James Shin and CEO Scooter Braun, “will follow a group of aspiring pop idol rejects enrolled at an arts academy who decide to form their own band, fusing the worlds of drama, acting, and musical performance with concurrent releases of original music and choreography,” according to a press release.
The multi-faceted project will live on Chow’s YouTube channel (which boasts more than 88 million subscribers) and “across multiple platforms that include music, merchandise, live touring, and more,” with the goal to “reimagine the fictional musical act turned real-life global popstar pathway for today’s generation,” as stated in the release.
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“The passionate global fanbase of Alan’s Universe partnered with the premier music prowess of HYBE AMERICA creates an unstoppable force,” said Chow in a statement. “Together, we stand to create a next-generation franchise with one purpose: to serve our fans with inspiring, impactful stories.”
“This partnership represents entertainment’s future—where content and music enhance each other rather than simply coexist,” added Shin. “We’re building a franchise with Alan that establishes a new model for artist development in the digital age.”
Braun added, “Alan’s extraordinary connection with global audiences makes him and this partnership unique. Together we are not only reimagining the star-making process but will help to create once-in-a-lifetime opportunities for exceptional storytelling and development.”
To apply, male and female candidates between the ages of 18 and 28 anywhere in the world can upload a singing or dancing clip to YouTube Shorts along with the hashtag #HYBEAMERICAxAU. More details can be found here.
K-pop companies SM Entertainment and HYBE were among the best-performing music stocks of the week as most stocks were dragged down by continued uncertainty about U.S. tariff policy and new data on higher-than-expected inflation.
SM Entertainment, home to NCT Dream and RIIZE, was the week’s best performer after gaining 6.7% to 107,000 KRW ($72.91). That brought the company’s year-to-date gain to 47.4% — the best of any music stock.
HYBE, which counts BTS and its solo members’ projects among its vast roster, improved 3.7% to 240,500 KRW ($163.87). On Thursday (March 27), HYBE announced that BTS songs such as “Dynamite” and “Butter” will be featured on Lullaby Renditions of BTS, out April 4 on Rockabye Baby! Music. HYBE shares are up 19.7% year to date, the fifth-best among music stocks.
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K-pop fared well during a down week for most stocks and markets in general. YG Entertainment, home of BLACKPINK and BABYMONSTER, rose 3.3% to 63,500 KRW ($43.27) while JYP Entertainment was unchanged at 61,300 KRW ($41.77).
Outside of South Korea, music stocks reflected the challenging economic conditions and uncertainties that have hurt stocks in recent weeks. The 20-company Billboard Global Music Index (BGMI) declined 2.9% to 2,459.98, marking its fourth decline in the last six weeks. With just eight of its 20 stocks finishing the week in the black, the BGMI fell into correction territory as its value has declined 10.7% since the week ended Feb. 14. The first six weeks of 2025 were good enough to overcome the recent slump, however, and the BGMI is up 15.8% year to date and has gained 40.4% over the last 52 weeks.
Stocks took another hit on Friday (March 28) after the core personal consumption expenditures price index, a measure closely watched by the U.S. Federal Reserve, increased 0.4% in February. That put the 12-month inflation rate at 2.8%. Both figures were above experts’ expectations. The tech-heavy Nasdaq composite finished the week down 2.6%, increasing its year-to-date decline to 11.7%, while the S&P 500 fell 1.5%. In the U.K., the FTSE 100 increased 0.1%. South Korea’s KOSPI composite index fell 3.2%. China’s SSE Composite Index dropped 0.4%.
The BGMI was pulled down by Spotify’s 6.5% decline and a 4.2% drop by German concert promoter CTS Eventim. Warner Music Group, one of the index’s largest companies, dropped 2.7% to $31.56.
Tencent Music Entertainment (TME) gained 2.7% to $14.38 after Deutsche Bank upgraded its rating on TME shares to buy from hold. Universal Music Group rose 2.0% to 25.99 euros ($28.12) after Wells Fargo upped the rating on the company’s shares to overweight from equal weight and increased the price target to 33 euros ($35.70) from 28 euros ($30.29).
Music streaming company LiveOne had the week’s biggest decline at 14.1%. The company announced on Wednesday (March 26) that subscribers and ad-supported users surpassed 1.4 million.
Radio company iHeartMedia fell 6.8%, putting its year-to-date loss at 23.0%. Satellite broadcaster SiriusXM dropped 3.1% to $22.75, though it’s still up 1.7% in 2025.