LOEN Entertainment
A South Korean music and entertainment company that developed from Seoul Records into a major record distributor, label operator, talent agency and digital-music business before becoming Kakao M and later merging into Kakao Entertainment.
Last updated October 18, 2026
AI crawler reads
No AI crawler has read this profile since Oct 28, 2026.
Overview
LOEN Entertainment was the historical name of a South Korean music and entertainment company whose corporate lineage began with Seoul Records in 1978. Founded by Min Yeong-bin as a subsidiary of the language-education company YBM Sisa, the business initially produced and distributed recorded music, including classical and traditional repertoire. It was formally registered in 1982 and expanded into album sales and online commerce during the 1990s. In 2000 it adopted the name YBM Seoul Records and entered the KOSDAQ market. The company became part of SK Group after SK Telecom acquired a controlling stake in 2005. Its importance grew substantially when it assumed responsibility for MelOn, SK Telecom's online music service, in 2009. MelOn became the company's central consumer platform and the principal source of its revenue, while the company also distributed music for external agencies and operated production, publishing, ticketing, concert and artist-management activities. Its international-facing distribution and video brand, 1theK, was formerly known as LOEN Music and was intended to make Korean music more accessible to global audiences. The name LOEN Entertainment was used from 2008. The company developed a multi-label structure, including LOEN Tree and later Fave Entertainment, and acquired or invested in several entertainment businesses. These included Starship Entertainment, A Cube Entertainment—later renamed Plan A Entertainment—and King Kong Entertainment through Starship. It also established or supported labels and agencies such as Mun Hwa In, EDAM Entertainment and E&T Story Entertainment. This structure allowed LOEN to combine digital distribution with artist management, music production and broader media development. Ownership changed in 2013, when Affinity Equity Partners acquired a majority stake. LOEN then became a subsidiary of Kakao Corporation in January 2016. Under Kakao, its activities were organized around music, digital services and video content. The company entered partnerships and investments involving drama production, actor management, web content, advertising-model casting and magazine publishing. It also participated in the creation of Mega Monster with Studio Dragon and operated businesses associated with Melon Ticket, 1theK and other content activities. The corporate name changed to Kakao M Corporation in March 2018. The letter “M” was presented as referring to Melon, music and media, reflecting the company's effort to broaden its identity beyond recorded-music distribution. The LOEN name continued to have historical and label-level associations, but the corporate entity increasingly operated as Kakao's music and media arm. Kakao M was merged with KakaoPage in March 2021 to create Kakao Entertainment. The merger ended Kakao M as a separate company, although many of its labels, services, catalogues, artists and business functions continued within Kakao Entertainment or related Kakao companies. LOEN Entertainment should therefore be treated as a defunct historical corporate brand rather than as a current independent record label.
History
LOEN Entertainment's corporate history began in 1978, when Min Yeong-bin established Seoul Records under YBM Sisa. The parent business was principally associated with language-learning materials, while Seoul Records developed a separate recorded-music operation. The company was formally registered in 1982 and began producing and distributing classical and traditional music in 1984. During the 1990s it moved toward broader album sales and online retail, and in 1999 it was registered as a venture-capital company. In 2000 it became YBM Seoul Records and was listed on KOSDAQ. SK Telecom acquired 60 percent of the company in 2005, making the record business part of SK Group. The corporate name LOEN Entertainment was adopted in 2008. In 2009, LOEN assumed operation of MelOn, SK Telecom's online music service. MelOn became the company's most important consumer property and made LOEN a central participant in South Korea's transition from physical albums to digital music. The company also distributed recordings for other agencies and developed the LOEN Music brand, later renamed 1theK, for music and video content. LOEN expanded into artist management and label operations during the 2010s. It signed a content-distribution arrangement with Viki in 2012 and released the collaborative LOEN Tree Summer Story EP through artists associated with its LOEN Tree collective. In 2013, Affinity Equity Partners acquired a majority stake, and LOEN acquired 70 percent of Starship Entertainment. The company subsequently reorganized its internal label structure, including LOEN Tree and Collabodadi. In 2015, Collabodadi's artists were moved to LOEN Tree, which later became Fave Entertainment. LOEN also acquired A Cube Entertainment, later renamed Plan A Entertainment, and expanded its connection with King Kong Entertainment through Starship. Kakao acquired LOEN in January 2016. After the acquisition, the business was increasingly developed as a diversified content group. Its activities were divided among music, MelOn-related services and video content, while 1theK, Melon Ticket, Krispy Studio and Mega Monster represented different parts of the broader operation. The company established or supported additional labels and agencies, including Mun Hwa In, E&T Story Entertainment and EDAM Entertainment. It also invested in actor-management companies and entered content partnerships with Studio Dragon. In 2017, LOEN announced a drama-production alliance with Studio Dragon, with plans to adapt web novels and webtoons associated with KakaoPage and Daum Webtoon. The resulting joint venture was named Mega Monster. In 2018, the company invested in or formed partnerships with BH Entertainment, J.WIDE Company, Management SOOP and Ready Entertainment. Its expansion therefore reached beyond music into scripted video, actors, advertising models, web content and other media categories. The corporate name changed to Kakao M Corporation in March 2018 after board approval. The new name was intended to connect the business with Melon, music and media. During this period, former chief executive Sean Seong-hoon Park left the company and Lee Jae-wook, previously associated with the Melon division, became chief executive. Kakao M continued to develop a portfolio of labels and content companies, including Starship, Plan A, Fave and EDAM. The company experienced a high-profile licensing interruption in early 2021 when music distributed by Kakao M was temporarily unavailable on Spotify after a licensing agreement expired. The relationship was renewed shortly afterward. In March 2021, Kakao M merged with KakaoPage, forming Kakao Entertainment. The merger dissolved Kakao M as a standalone company, while its music catalogues, platforms, labels and production capabilities were incorporated into the successor organization.
- 2021
Merged into Kakao Entertainment
[1]Kakao M merges with KakaoPage to form Kakao Entertainment and ceases to exist as a separate company. Kakao M merged with KakaoPage, creating Kakao Entertainment and ending Kakao M’s standalone status.
- 2020
EDAM Entertainment established
[1]Kakao M established EDAM Entertainment as an affiliated label for IU and related activities.
- 2018
Renamed Kakao M
[1]LOEN Entertainment changes its corporate name to Kakao M Corporation.
- 2018
Kakao M name introduced
[1]LOEN Entertainment changed its corporate name to Kakao M.
- 2016
Kakao acquisition
[1]Kakao Corporation acquires LOEN Entertainment and incorporates it into its expanding content business.
- 2013
Affinity Equity Partners becomes majority owner
[1]Affinity Equity Partners acquires a majority stake in LOEN, while the company acquires 70 percent of Starship Entertainment.
- 2013
Starship Entertainment became an affiliated company
[1]LOEN acquired 70 percent of Starship Entertainment, expanding its multilabel structure.
- 2009
MelOn operations transferred to LOEN
[1]LOEN assumed responsibility for SK Telecom's online music service Melon.
- 2008
LOEN Entertainment name adopted
[1]The company begins operating under the LOEN Entertainment name.
- 2008
Renamed LOEN Entertainment
[1]The company entered the LOEN Entertainment era.
Products and positioning
Integrated South Korean music, digital-content, and entertainment company combining music distribution, a major streaming platform, artist management, and media production.
Digital music service
MelOn
MelOn was LOEN's flagship online music service and its most important consumer-facing asset. The platform provided music streaming, digital downloads, chart information and related artist content. After LOEN became part of Kakao, MelOn remained the core of the company's music business and influenced the later Kakao M identity. The service continued under Kakao's ownership after the LOEN and Kakao M corporate entities were reorganized. Melon was Kakao M’s central online music service and one of South Korea’s most prominent platforms for music streaming, downloads, charts, and related digital consumption. LOEN took responsibility for operating the service in 2009, making it a key source of audience data, distribution reach, and revenue for the wider business. Melon’s role also connected Kakao M’s platform operations with its label, publishing, artist, and ticketing activities.
Music distribution and video content · 2014
1theK
1theK was the international-facing music and entertainment content brand formerly known as LOEN Music. It distributed recordings and produced or hosted digital video content involving Korean artists. The brand was designed to provide a single channel for global K-pop discovery and was used alongside LOEN's distribution relationships with independent agencies and labels. 1theK was Kakao M’s global-facing music-content brand, formerly known as LOEN Music. It distributed and promoted releases from Kakao M-affiliated and independent entertainment companies, with the stated aim of providing a single international source for Korean pop content. The brand formed part of the company’s music-content production, distribution, and publishing operations.
Record label and artist collective · 2012
LOEN Tree
LOEN Tree was an internal label and artist collective associated with LOEN's music operations. It released collaborative material, including the LOEN Tree Summer Story project, and served as an organizational home for artists managed or developed by the company. The label was later renamed Fave Entertainment.
Entertainment ticketing
Melon Ticket
Melon Ticket extended the MelOn ecosystem into concert and event ticket sales. It supported the company's role in live entertainment by connecting music discovery and artist activity with access to performances and other events. Melon Ticket was Kakao M’s ticketing portal for concerts and other entertainment events. It complemented the company’s music and artist-management businesses by providing a direct route from recorded-content audiences to live performances and event sales.
Record label and talent agency · 2013
Starship Entertainment
LOEN acquired a majority stake in Starship Entertainment in 2013. Starship remained an independently operated label within the broader portfolio and became one of the most significant artist-management businesses connected to LOEN and later Kakao M.
Drama and video production · 2017
Mega Monster
Mega Monster was a drama-production venture associated with LOEN and Studio Dragon. It represented the company's move into scripted video and adaptations connected to web novels and webtoons available through Kakao's content platforms.
Recorded music and publishing
Music publishing and distribution catalog
Kakao M maintained a broad catalog and distribution operation covering music production, physical and digital releases, publishing, and releases supplied by outside agencies. Its 1theK and related music-content activities distributed hundreds of titles in some years and supported both affiliated labels and independent partners.
Controversies
2019
Alleged royalty diversion by former executives
Three former company executives were charged over allegations that 18.2 billion won in royalties associated with Melon, artists, and producers had been stolen or misappropriated.
2019
Kakao M responds to unauthorized resale of IU concert invitation tickets
Kakao M, IU's agency, apologized after complimentary invitation tickets for an IU concert were sold to fans outside the agency's premises. The agency stated that it would work to prevent similar issues and would update fans following its investigation. The incident concerned the unauthorized resale of invitation tickets that had been provided as complimentary invitations.
2016
Supreme Court price-collusion ruling
The Supreme Court of Korea imposed fines on LOEN and KT Music, with a separate penalty involving executive Shin Won-soo, in litigation concerning alleged digital-music price collusion. The Supreme Court of Korea imposed a 100 million won fine each on LOEN Entertainment and Genie Music, then known as KT Music, in a price-fixing case dating back to a 2008 filing. Former co-CEO Shin Won-soo was also ordered to pay 10 million won.
2011
Digital music price-fixing case
LOEN and its then-parent SK Telecom were among companies fined and sued by South Korean competition authorities in connection with alleged price rigging in the music market. The referenced material reports a fine of $9.6 million for the company's role. LOEN Entertainment and its then-parent SK Telecom were among companies fined and sued by South Korea’s Fair Trade Commission in a case concerning alleged price rigging in the music market. The referenced material reports a fine of $9.6 million for the company’s role.
Marketing campaigns
- 2013Incredible promotion and distribution
South Korea
LOEN agreed to distribute and promote Junsu’s second studio album, Incredible, for C-JeS Entertainment. A dispute arose when C-JeS said planned promotional activity and a Melon showcase broadcast had been withdrawn or left unresolved. LOEN agreed to distribute and promote Junsu's second studio album, Incredible, for C-JeS Entertainment. A dispute arose when C-JeS said planned promotional activity and a Melon showcase broadcast had been withdrawn or left unresolved. After media attention and a meeting between the companies, the dispute was resolved and LOEN distributed and promoted the album as planned.
Outcome. After media attention and a meeting between the companies, the dispute was resolved and LOEN distributed and promoted the album as planned.
- 2012Viki content-distribution partnership
International
LOEN entered an arrangement with Viki to make content from artists including IU, Brown Eyed Girls and Drunken Tiger available through the international streaming platform, expanding overseas digital exposure for LOEN-associated artists.
Outcome. Expanded overseas digital exposure for LOEN-associated artists.
- 2012LOEN Tree Summer Story
South Korea · International digital markets
Artists connected with LOEN collaborated under the LOEN Tree identity on a summer EP, using a collective release to present the label's roster as a unified music brand.
Outcome. Created a cross-artist label project. The release served as a collaborative label project and reinforced the LOEN Tree identity.
Brand decisions
2021
Merge with KakaoPageM&ABackground
Kakao was consolidating its music, web-content, media, and entertainment assets into a larger content company.
Action taken
Kakao M and KakaoPage were combined to establish Kakao Entertainment.
Aftermath
Kakao M ceased as an independent legal entity, while its businesses continued within Kakao Entertainment, including an M Company structure.
2018
Rebrand as Kakao MStrategyBackground
The company had expanded beyond record distribution into digital services, video, talent management and broader media. The LOEN identity no longer fully represented the company’s relationship with Kakao or its growing music and media scope.
Action taken
LOEN Entertainment adopted the Kakao M corporate name, linking the identity to Melon, music and media.
Aftermath
The LOEN corporate identity was replaced by a Kakao-centered media identity. The rebrand positioned the company as Kakao’s integrated music and media subsidiary.
2016
Join KakaoM&ABackground
Kakao was expanding its digital-platform business and sought a stronger music and entertainment presence.
Action taken
Kakao Corporation acquired LOEN Entertainment.
Aftermath
LOEN's music platforms, labels and content operations became part of Kakao's media strategy.
2016
Kakao acquired LOEN EntertainmentM&ABackground
Kakao sought to strengthen its digital-content and entertainment businesses, while LOEN controlled Melon and a substantial music operation.
Action taken
Kakao Corporation acquired LOEN Entertainment and brought it into the Kakao group.
Aftermath
The business expanded into a broader Kakao content ecosystem and was later renamed Kakao M.
2013
Acquire a controlling stake in Starship EntertainmentM&ABackground
LOEN was expanding from distribution into a portfolio model involving independent labels and artist-management companies.
Action taken
The company acquired 70 percent of Starship Entertainment while leaving it as an independent subsidiary.
Aftermath
Starship became a central part of LOEN and later Kakao M’s multilabel entertainment network.
2009
Make MelOn the central digital-music platformStrategyBackground
The company was positioned to benefit from the shift away from physical albums toward online music consumption.
Action taken
LOEN assumed operational responsibility for MelOn and built distribution, content and artist activities around the service.
Aftermath
MelOn became the company's defining platform and a major contributor to its business.
2009
Take responsibility for Melon operationsStrategyBackground
SK Telecom’s online music service was a strategically important distribution and consumer platform in South Korea.
Action taken
LOEN assumed operation of Melon and integrated the service more closely with its music distribution and entertainment activities.
Aftermath
Melon became the company’s defining platform and a major contributor to its digital-music position.
Recent events
Kakao M responds to unauthorized resale of IU concert invitation tickets[2]
Reported:
Kakao M, IU’s agency, apologized after complimentary invitation tickets for IU’s concert were sold to fans outside the agency’s premises. The agency said it would work to prevent similar issues and would update fans after its investigation.
Kia and Kakao M sign Melon Music Awards sponsorship agreement[3]
Reported:
Kia Motors and Kakao M signed an agreement to sponsor the 2019 Melon Music Awards and strengthen cultural marketing promotions. The Kia Seltos was to be displayed at the awards.
Sources3 sources
Cite this profile: Cite the canonical profile. /brand-wiki/loen-entertainment · Editorial policy · How profiles are compiled