S.M. Entertainment , South Korea’s largest K-pop powerhouse by market cap, is at a crossroads having to decide on taking action ahead of a deadline issued by an activist investor to merge with another firm owned by founder and Executive Producer Lee Soo-man.



S.M. must respond by June 20 to these and other demands by KB Asset Management, which has publicly called on Like Agency -- a private company owned by Lee -- to be merged with the entertainment firm in order to keep intact the corporate value of the Kosdaq-listed firm. KB Asset is also demanding more dividends of up to 30 percent of net income and shutting down the firm’s unprofitable food and beverage operations.





S.M. Entertainment founder Lee Soo-man