Lee Jung-jae Becomes Major Shareholder of 1 Trillion Won Entertainment Group

On January 17, it was announced that actor Lee Jung-jae has become the largest shareholder of a comprehensive entertainment group with annual revenues exceeding 1 trillion won. This follows the completion of the merger between Artist Company and Artist United, which also includes the subsidiary Artist Studio.

Artist United confirmed that the merger was finalized on January 17, after the proposal was approved at a temporary shareholders' meeting held on December 13. This merger marks the culmination of a three-month process that began with the merger resolution on November 5 of the previous year.

The merger aims to combine management and content production capabilities to establish a global intellectual property (IP) business model. Artist Company, home to prominent actors like Lee Jung-jae and Jung Woo-sung, achieved over 20 billion won in net sales last year, boasting one of the highest operating profit margins in the industry.

The company has built a strong foundation of trust with its artists, focusing on mutual growth, and has produced high-quality content such as the film 'Hunt' and the dramas 'The Silent Sea' and 'Tell Me You Love Me'.

Founded in 2010, Artist United provides B2B online marketing and advertising solutions utilizing big data and AI technology. After Lee Jung-jae became the largest shareholder at the end of 2023, the company launched new divisions for distribution and production, acquiring Artist Studio (formerly Raemongraein) to enhance its entertainment business.

Both Artist United and Artist Company have recorded annual revenues between 20 to 30 billion won, while Artist Studio has surpassed 40 billion won in annual sales. With the merger, the combined capabilities of the three companies are expected to approach 1 trillion won in annual revenue. Additionally, Artist United is reportedly planning new ventures in commerce and AI, which could significantly increase revenue in 2025.

Artist United stated, "Artist Company is one of the top domestic management firms with the highest operating profit margins. We expect this merger to greatly contribute to improving our performance and financial stability." They also anticipate that the merger will create synergies by combining management expertise with online marketing technologies powered by big data and AI, alongside the production capabilities of Artist Studio.