HYBE, the South Korean agency behind K-pop sensation BTS, has announced an expanded 10-year deal with Universal Music Group including exclusive distribution rights to its artists' music, AFP reports.
"Universal Music Group will exclusively distribute physical albums and digital music released by labels under HYBE to the global market for the next 10 years," the agency said in a Korean-language statement.
The deal applies not only to "existing labels, but also to new labels that will be incorporated into HYBE" in the future, the statement said.
"Universal Music Group will also support the promotion and marketing of HYBE artists' activities in North America," it added.
The latest announcement follows HYBE and UMG's initial collaboration in 2017 on BTS, via a distribution agreement in Japan.
Last year, UMG's Geffen Records and HYBE collaborated on "The Debut: Dream Academy," a YouTube audition series that highlighted their joint venture to form a girl group in the U.S. with the help of HYBE's K-pop training program.
The ultimate audition winners - a six-member group - will debut this year.
The two companies will continue to collaborate on HYBE's superfan media platform Weverse, with the goal of providing a "more direct connection" between UMG artists and their fans, according to a separate statement posted on UMG's website.
"HYBE has secured endless growth potential through its partnership with Universal Music Group, the most iconic company in the music industry," said Bang Si-hyuk, HYBE's chairman.
UMG artists include Taylor Swift, Ariana Grande and Justin Bieber.
On the other hand, HYBE's BTS has become a global cultural phenomenon, selling out stadiums around the world and dominating key charts in the U.S., while earning billions for the South Korean economy and creating an international legion of fans known as ARMYs.
Currently, all BTS members are enlisted in the mandatory military service in South Korea.
In September last year, HYBE announced that all 7 members of the group had renewed their contracts.
The announcement suggests that all seven members will likely remain with the agency after they complete their military service.
HYBE shares rose 6.92% during afternoon trading in Seoul. / BGNES
