BTS agency Hive and "IT dinosaur" Kakao, which have been in a bitter confrontation over SM Entertainment, a major K-pop agency, are in last-minute negotiations, and the possibility of a dramatic settlement is emerging.

According to the music industry, Hive and Kakao have been in talks for 10 and 11 consecutive days regarding the acquisition of SM.

This raises the possibility that Hive and Kakao will reach a dramatic settlement soon.

The specific agenda and whether there will be an agreement are not yet known, but it is possible that they discussed the composition of the board.

Ahead of the shareholders' meeting later this month, Hive has nominated seven "mammoth-class" board members, while SM's current management and Kakao have nominated 7 "mammoth-class" board members, but they may have agreed to adjust the members through consultations.

Neither side has complete control of the board, effectively taking on the appearance of "co-management."

Both Hive and Kakao have taken the position that "nothing has been decided yet."

In the aftermath of the competition between the two sides to acquire SM, SM stock price has more than doubled from one month ago, raising concerns that whoever becomes the new owner of SM may fall into the "winner's curse".

Earlier, Hive tried to tender SM shares at 11,1 won per share last month, but failed as the stock price was well above 2,12 won, and Kakao also started a tender offer at 12,15 won per share, but the stock price is fluctuating around 15,2 won, so it is uncertain whether it will succeed.

There have been speculations in the stock market and music circles that Hive could challenge for a second tender offer, but the huge amount of money required and the inability to guarantee success seems to have weighed on them.