[Click eStock] "HYBE, Short-Term Volatility Increases Amid Management Takeover Attempt News"

Korea Investment & Securities mentioned that despite the short-term volatility expanding due to the news on the 23rd about Adore's management attempting a takeover of HYBE, the stock is in a buying zone.

Following the news of Adore's management attempting to seize control, HYBE's stock price fell by 7.8% the previous day.

After assessing the situation, HYBE initiated an audit and sent a letter demanding the convening of a shareholders' meeting and the resignation of CEO Min Hee-jin.

Currently, HYBE holds 80% of Adore's shares, while CEO Min and other executives hold 20%.

Researcher Ahn Do-young of Korea Investment & Securities analyzed, "Since NewJeans has shown strong popularity, both fandom and the public highly value CEO Min's influence, so the possibility of her resignation led to the stock price decline."

Researcher Ahn added, "NewJeans has an exclusive contract with Adore, and since HYBE holds 80% of Adore's shares, NewJeans continues to be HYBE's IP."

NewJeans has already formed a solid fandom through two years of activities since debut, and it is analyzed that fans are supporters of NewJeans itself, not the producer.

Since both parties do not want to damage the NewJeans IP, it is considered unlikely that the album activities scheduled for release in May to June will be affected.