Kakao, the nation’s dominant mobile messenger app operator, apologized Thursday for its involvement in alleged stock manipulation during its takeover of SM Entertainment.
Kakao CEO Hong Eun-taek apologized Thursday over recent controversy surrounding alleged stock manipulation in connection with the tech giant’s acquisition of K-pop agency SM Entertainment. “We apologize for causing concern to Kakao shareholders with the various negative news that occurred during the process of taking over SM Entertainment management rights," the CEO said at the company’s earnin.
Kakao, the operator of Korea s top mobile messenger KakaoTalk, said Monday it will seek ways to strengthen compliance management and internal control amid stock manipulation allegations involving its executives.
As Kakao s stock price plunges below 40,000 won ($29.64) due to mounting legal challenges surrounding its management, foreign investors are displaying bullish momentum, net purchas.