From left, Park Chung-min, the president of CUBE Entertainment, Hong Seung-song, the chairman of CUBE Entertainment, Jung Hoon-tak, the chairperson of IHQ and Jun Yong-joo, the president of IHQ. [CUBE Entertainment, IHQ]
Major K-pop agency CUBE Entertainment and Korean actors’ management firm IHQ have built a strategic alliance, taking a shot at the No. 1 global entertainment company.
CUBE Entertainment sold 50.01% of its stock for 16.5 billion Korean Won (approximately 15.1 million U.S. Dollars) to IHQ to consolidate the strategic partnership, CUBE announced in a statement Tuesday.
CUBE’s president Hong Seung-seong, the former manager to giant K-pop producer, secures his existing stake of 28% and is set to invest 2 billion Won (approx 1.8 million Dollars) to IHQ’s convertible bond by means of intensifying synergy between two firms.
Universal Music, the formerly largest shareholder of CUBE, holds 11% of CUBE’s stock, explained the K-pop agency which has been considered as No. 4 in the market following so-called Big 3 —SM, YG and JYP Entertainment.
CUBE Entertainment is a home of K-pop idols 4minute, BEAST, G.NA, BTOB and comedian Kim Ki-lee, including K-pop big name Rain in its subsidiary firm CUBE DC.
Hong Seung-seong, who had discovered K-pop talents J.Y. Park and LYn, is one of the co-founder of JYP Entertainment with singer/producer J.Y. Park in 2001, producing numerous stars such as, Rain, Park Ji-yoon, 2PM, 2AM and Wonder Girls.
IHQ’s president Jung Hoon-tak stepped into the entertainment scene as a manger of K-pop legend Cho Yong-pil, scouting and training idol group god, one of the first-generation boy bands.
Korean hip-hop musician Jay Park and rookie girl group 2EYES are currently active as IHQ’s artists, while the firm is set to introduce a new boy band this fall.
IHQ also takes charge of Korean star actors’ career including Jang Hyuk, Hwang Jeong-eum, Kim Woo-bin, Lee Sang-yeob, Lee Soo-hyuk and Lee Yubi.
Reporter. Lee Hye-ji firstname.lastname@example.org
Courtesy of CUBE Entertainment, IHQ
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A Cube Entertainment rep stated, ”The partnership between music market’s strong force Cube Entertainment and strong force in the field of drama, film production and management iHQ, will give us the chance to become the #1 company in the entertainment industry. This partnership will serve as the stepping stone for Cube Entertainment to succeed as a global multi-entertainment company.”
iHQ’s CEO also stated, ”iHQ’s first large-scale strategic alliance project with Cube Entertainment will strengthen the global music business and iHQ will work hard to become a premier content syndication group in Korea.” (Allkpop)
Cube Entertainment Representative Hong Seung Song explained, “All these while, Cube Entertainment knows the know-hows on the KPOP industry and had therefore grown very quickly. IHQ, on the other hand, has established itself as the strongest drama and movie producers. Both of us have our own advantage and through this strategic partnership, we can share our knowledge on production and management, which is why we see this opportunity as a meaningful one. Moreover, we will create a synergy between the management teams and global businesses as well.” (OSEN)