SM Entertainment has revealed an official statement on the sales of Lee Soo Man's shares.

Lee Soo Man is known to have founded the label in 1995, and he's also officially the largest shareholder of the agency. On May 27, SM Entertainment announced its position on the sales of Lee Soo Man's shares, stating, "Nothing has been confirmed."

The label stated, "SM Entertainment is having multilateral discussions with various companies relating to business alliances and equity investment, but no details have been confirmed."

Previously, media outlets reported Naver and Kakao Entertainment were competing to acquire the stakes of SM Entertainment.