SEOUL - A South Korean court has granted bail to local tech giant Kakao founder Kim Beom-su, also known as Brian Kim, the Seoul Southern District Court said on Thursday.

Kim was arrested earlier this year on accusations of stock manipulation during the acquisition of a K-Pop agency last year. He has denied the allegations, saying he never ordered or tolerated any illegal activity, the company said.

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Kakao, which runs South Korea's largest chat app, has been undergoing efforts to improve governance after the company and another executive went on trial last year, accused of wrongdoing during the acquisition of SM Entertainment.