As the process for this acquisition was reported back in November, it comes as no surprise that Loen Entertainment has successfully taken over a majority stake in Starship Entertainment, which is known for having popular artists such as SISTAR, K.Will, and Boyfriend.
While the amount of about 14 billion won (~ $13 million USD) was the originally negotiated value, it appears that Loen Entertainment has taken over Starship at a slightly higher value of 15 billion won (~ $14.3 million USD). The money was used to acquire 7,000 shares (70%) of Starship, essentially allowing Loen to take over.
After Loen made the public announcement, they reported:
"On December 18, we had a board meeting and decided to invest in 70% of Starship.
After switching to a multi-label system back in September, we reviewed competent agencies as potential objects of investment. On December 18, we decided to invest in Starship because of their superior competence in content production and artist management as well as potential for continuous growth.
We have high expectations that this investment will provide an opportunity for Loen to improve the competitiveness of its artist management enterprise, enhance the K-Pop business system, and act as a stepping stone for advancing into the global market.
Starship's main management will not be altered, allowing it to maintain its inherent character and operate as an independent label system. At the same time, we plan on creating a synergy between these two companies through high quality content production and marketing cooperation with Loen's existing labels.
Even in the future, Loen wants to offer extensive opportunities to agencies and producers who are widely competent in continuous production."
Many fans may be relieved to find out that this business acquisition should not greatly affect Starship's unique style, at least according to the above report. How do you feel about this new business acquisition? Are you hoping to see some collaborations between Loen and Starship artists?