Shares of Kospi-listed Hybe popped as much as 4.97% on Wednesday after Min Hee-jin, the former CEO of sublabel ADOR, stepped down on Tuesday after market hours.
This represented a gain of about 376.02 billion won ($282.05 million) in market value for Hybe. The development is the latest in the long running management dispute that has roiled K-pop’s largest agency. Hybe most notably manages BTS, South Korea’s largest K-pop act.
The stock ended the day at a share price of 182,000 won apiece, a gain of nearly 3%.
ADOR, which manages girl group NewJeans, announced that Min had stepped down from the CEO position, but will remain as an “internal director” and still produce content for NewJeans. ADOR’s chief human resources officer Kim Joo-young will replace Min.
South Korean media, however, reported Min said in a statement “the decision was illegal” and “unilateral,” adding that she was not consulted on staying on to produce material for NewJeans.
Back in April, Hybe filed a police report against Min, accusing her of wanting to take the sublabel independent.
Min then alleged that Hybe had copied the concept of NewJeans for another girl group under a different Hybe subsidiary.
Hybe called an extraordinary general meeting in May to remove Min as CEO. She filed an injunction to stop the move, which the Seoul Central District Court granted, ruling that Hybe may not use its voting rights in the EGM.
— CNBC’s Chery Kang contributed to this report.
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