HYBE (formerly Big Hit Entertainment) and Ithaca Holdings merger deal to innovate and revolutionize the music industry. The South Korean company, home to BTS, has officially closed the deal to be merging with Ithaca Holdings – the media and entertainment investment company founded by Scooter Braun.
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| Photo: Justin Bieber, Arian Grande and BTS | Twitter |
Based on the announcement, the deal stated that HYBE
will acquire all the shares of Big Hit America, worth ₩1.70 trillion KRW
(around $1.51 billion USD) and merges will Ithaca Holdings, making Ithaca
Holdings a subsidiary of HYBE America. HYBE and its subsidiary currently manage
some of the biggest recording artists in K-Pop including BTS, TXT, SEVENTEEN,
NU’EST, GFRIEND, and ENHYPEN.
Aside from attracting media attention back in 2019
where the company has purchased Taylor Swift’s music catalog in a $300 million
USD deal, Ithaca Holdings is also the owner of SB Projects, the entertainment
company which manages Ariana Grande, Justin Bieber, Demi Lovato and more.
Scooter Braun will be joining the board of HYBE, and it’s said that artists
under both companies will work to strengthen their ties and increase their
capital.
CEO and Chairman of HYBE, Bang Si Hyuk, stated that
the merging of HYBE and Ithaca Holdings “marks that start of a new adventure for
both companies,” and that they intend to work together to create synergy and
dismantle cultural barriers.
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| Photo: Courtesy of HYBE CEO Bang Si Hyuk | HYBE |
The two companies will work closely together leveraging our proven track records of success, know – how, and expertise to create synergy, transcend borders and break down cultural barriers. Please look forward to the endless possibilities of HYBE and Ithaca Holdings, and the new paradigm the partnership will establish in the music industry.
On the other hand, Scooter Braun in his own statement referred
to Bang Si Hyuk as a friend and someone who supports the creative journeys of artists.
Braun explained that his partnership will grow global opportunities for artists
exponentially, adding that the two companies, HYBE & Ithaca Holdings intend
to revolutionize the music industry together.
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| Photo: Courtesy of Scooter Braun | Twitter |
This will be the first time HYBE’s groundbreaking systems and curation will be integrated in the U.S. market at the onset of an artist’s career. Plus, it will help us to continue to further the careers of the artists we already work with… This is an opportunity for us to make history and further innovate the music industry and revolutionize the game itself. Its implications for the business will be monumentous for a long time to come.
— Scooter Braun
We are ecstatic to… further the global reach of both companies and the artists with whom we have the privilege of working as we continue to grow our company and their careers across entertainment, technology, commerce and content.
– Allison Kaye, partner at Ithaca Holdings.
The news about the merger of HYBE and Ithaca Holdings came
shortly after a Korean media reports that Warner Bros. may be investing around
$450 million USD into HYBE.