TME(US:TME) news flash·2025-05-27 10:20Core Insights - HYBE is selling all its shares in SM Entertainment to Tencent Music Entertainment Group for approximately 12.9 billion RMB [1] - The transaction will be executed through an off-market block trade after the market closes on May 30 [1] - Following this transaction, HYBE will completely withdraw its investment in SM Entertainment, and Tencent Music Entertainment Group will become the second-largest shareholder of SM Entertainment, following Kakao [1] Financial Details - The total transaction amount is around 243.3 billion Korean Won, equivalent to approximately 12.9 billion RMB [1] - This sale marks a significant shift in the ownership structure of SM Entertainment, enhancing Tencent's position in the company [1] Market Implications - The move indicates a strategic realignment in the Korean entertainment industry, with Tencent strengthening its foothold in SM Entertainment [1] - The transaction may influence future collaborations and competitive dynamics within the industry, particularly between Tencent and Kakao [1]