There's a new business partnership that just happened between LOEN Entertainment and A Cube Entertainment. More specifically, LOEN has made a huge investment into A Cube, creating a very strategic partnership.
LOEN released an official report on November 25 KST, stating, "Today a council meeting was held and we invested in 70% of A Cube's shares. Through this, the competitiveness of LOEN's production and artist management will be raised, and more ties have been made with K-pop's business system."
Now this can initially sound a bit confusing, because it is a sort of acquisition and not at the same time. This means that LOEN owns 70% of A Cube's shares, but A Cube Entertainment is still an independent label distributed by LOEN Entertainment.
A Cube was said to have been carefully reviewed and analyzed to have great capability and continual growth and potential in its content production and artist management. Even after this acquisition, A Cube will keep their existing management and act independently with their own identity.
A Cube Entertainment has now officially become one of the many, many independent companies under LOEN Entertainment.
What do you think of this new business partnership?