[Alpha Biz= Kim Jisun] SK Square announced on August 7 that it has completed preparations for launching a unified Korean OTT (K-OTT) platform with Tving by making an additional investment in Content Wavve and finalizing the company’s board formation.
SK Square plans to invest KRW 75 billion (approximately USD 57 million) in Content Wavve through the acquisition of newly issued convertible bonds (CBs), following its pre-established investment roadmap. As part of the transaction, CJ ENM (KRX: 001040) will also acquire KRW 50 billion worth of existing CBs held by SK Square, effectively increasing its own stake in the company.
With this move, SK Square’s cumulative investment in Content Wavve reaches KRW 175 billion, while CJ ENM’s totals KRW 150 billion. This marks the second major CB investment by both firms, following their initial investment in November 2023 of KRW 150 billion by SK Square and KRW 100 billion by CJ ENM.
The investments reflect both companies’ shared commitment to strengthening the competitiveness of Korea’s content industry and launching a unified K-OTT service that combines the capabilities of Wavve and Tving.
Alongside the investment, Content Wavve has also appointed a new CEO, Mr. Seo Jang-ho, Head of Content Distribution at CJ ENM. Mr. Seo, a seasoned media executive with extensive experience in international content business, is expected to lead the integration of Tving and Wavve and enhance their global competitiveness.
In June, Korea’s Fair Trade Commission approved the executive overlap between Wavve and Tving as part of the business consolidation process. Ahead of the official K-OTT launch, the two platforms have already introduced joint marketing initiatives such as the “Double Pass,” the first bundled product in the Korean OTT industry, which received positive feedback from users.
Content Wavve and Tving also plan to broaden cross-platform collaboration by sharing popular programming from terrestrial and cable broadcasters, including entertainment and drama content, to further boost synergy.
AlphaBIZ Kim Jisun(stockmk2020@alphabiz.co.kr)
