ADOR's Min Hee Jin won the court ruling against HYBE which prevents the conglomerate from participating in the upcoming shareholders' meeting which will discuss the future of Min Hee Jin at ADOR. The feud between HYBE and ADOR has been an issue for the past few months and new revelations have been made at every step. Here is what the court's latest decision means for the two companies.
Min Hee Jin wins injunction against HYBE
Min Hee Jin had filed a case against HYBE to prevent them from taking part in the shareholder's meeting which is scheduled for May 31. The meeting would discuss Min Hee Jin's position as the CEO of ADOR. On May 30, Min Hee Jin won the injunction against HYBE. The 50th Civil Affairs Division of the Seoul Central District Court ruled in favor of Min Hee Jin. She had been accused of an attempted takeover of ADOR by HYBE which led to the whole situation.
What ADOR's win over HYBE means for the company
Since Min Hee Jin won the case, she'll continue to exercise her role as the CEO of ADOR which manages the K-pop girl group NewJeans. Since HYBE owns 80 percent of shareholders' rights, they could have used their votes to make Min Hee Jin step down from her position as ADOR's CEO if she had not won the case.
Earlier it was reported that HYBE had proposed the dismissal of Min Hee Jin and a new board of directors for ADOR for the upcoming shareholders' meeting. If HYBE indeed does nominate a new board of directors, Min Hee Jin will face considerable restraint in management and her execution of power.
Since HYBE lost the battle, for now, a netizen released a list of probable losses HYBE had to incur because of the feud. The list included about 730 million USD in market capitalization loss. Additionally, if HYBE does want Min Hee Jin out of the picture, they have to pay 20 billion KRW (about 14.6 million USD) to her despite an 80 percent stake in ADOR.
HYBE's response to the court ruling
As the court ruling was out, HYBE gave a statement explaining its stance. They said that they will respect the ruling and not exercise their power to dismiss Min Hee Jin. They stated that Min Hee Jin plotted to weaken HYBE’s control over ADOR by taking NewJeans. Additionally, they claim that this is pressuring HYBE to sell its ADOR holdings which would result in Min Hee Jin gaining independent control of ADOR.
More about ADOR and HYBE's feud
The feud between HYBE and ADOR continues with new revelations being made each day. Earlier, HYBE had accused ADOR of planning to become independent and take over control of ADOR which is currently under HYBE. They also accused ADOR of leaking personal information.
On May 19, Min Hee Jin released her statement regarding the accusations made against her. She commented that she only met Naver and Dunamu for social purposes and not with the intention of gaining management control over ADOR. She stated that the dinner was hosted by an acquaintance and she was not aware of who was attending the dinner meeting.
Min Hee Jin was also accused of cussing at NewJeans and slandering BTS, ILLIT and more K-pop groups.
https://ift.tt/XYEsuTb
Entertainment
No comments:
Post a Comment