Hybe, the company behind K-pop phenomenon boy band BTS, has announced its foray into the Latin American music market.

The company has established the local subsidiary, Hybe Latin America, in Mexico, the firm said Monday.

“We aim to extend our reach into Latin America, one of the fastest-expanding music markets in the world,” Hybe said in a statement Monday, adding the regional division will serve as its local office for the artists of Hybe Labels, the management arm of the multilabel company.

Hybe Latin America is also to be a base for new artist recruitment and content development, it added. The subsidiary will allow it to join forces with top-tier producers for the training, development and systems optimal to the artists in the region.

Ultimately, the K-pop powerhouse is looking to implement its business methodology from Korea -- achieved through the success of global stars the likes of BTS, Tomorrow X Together and NewJeans -- in the Latin genre, the firm noted.

Isaac Lee, founder of Exile Contents, has been named to head the board of Hybe's Latin American unit. Lee previously served as the chief content officer for the world’s leading Spanish-language media conglomerate, TelevisaUnivision, and has also produced global content distributed via Netflix, Amazon and Disney.

Hybe said it anticipates a full-fledged partnership with Exile Content with Lee's engagement. Ahead of the launch, Hybe Latin America brought in Exile’s music arm, Exile Music, setting the grounds before officially entering the regional market. The deal marked the Seoul-based company's first acquisition of a Latin American firm.

Meanwhile, the market for the Latin music genre recorded around $1.1 billion in the US, the world's No. 1 music market, in 2022, up by 24 percent year-on-year, according to the Recording Industry Association of America -- a considerable pace considering the 9 percent annual growth of the global music market.