Min Hee-jin demands HYBE buy her ADOR shares

Min Hee-jin demanded that she be able to exercise her put option on ADOR shares, requesting HYBE to buy the shares that she owns, local media reported Thursday.

Min Hee-jin at her office in western Seoul on Sept. 15 [JOONGANG ILBO]

Min Hee-jin demanded that she be able to exercise her put option on ADOR shares, requesting HYBE to buy the shares that she owns, local media reported Thursday.

Earlier this month, Min notified HYBE that she would exercise her put option, an investor's right to sell their shares to the company upon demand, over her 18 percent share of ADOR, according to Yonhap.

The shareholder contract between Min and HYBE states that Min is able to sell her shares at three-quarters of ADOR's average total operating profit over the last two years, multiplied by 13. ADOR reported a 4 billion won operating deficit in 2022 ($2.8 million) and 35.5 billion won in operating profit in 2023, meaning that she will get 26 billion won in total if her put option is fully exercised.

However, HYBE is trying to end the contract with Min, which was challenged by Min and is now pending a decision from the court. Should the court take HYBE's side, the company would be free to decide whether or not it wants to buy Min's shares.

Meanwhile, HYBE also received an ultimatum from girl group NewJeans to bring back Min Hee-jin as the CEO of ADOR before Nov. 27 or the members will take legal measures to terminate their exclusive contracts with the agency.

BY YOON SO-YEON [yoon.soyeon@joongang.co.kr]