Scooter Braun steps back from managing as Demi Lovato, Idina Menzel leave

Scooter Braun, one of the biggest names in the music industry, is moving away from managing clients such as Justin Bieber and Ariana Grande

Scooter Braun, one of the highest-profile managers in the music industry, is taking a step back from managing some of his superstar clients as he takes on a new role as CEO of Hybe America, a source close to the situation confirmed Tuesday.

Puck News reported Friday that Braun was on the outs with his oldest major client, Justin Bieber. Reports from other outlets circulated Monday that Braun also lost singers Ariana Grande and Demi Lovato.

A source familiar with the matter said Braun's firm, SB Projects, has amicably parted ways with Lovato and another client, Idina Menzel.

Scooter Braun in 2017.Patrick T. Fallon / Bloomberg via Getty Images file“All of Scooter Braun's clients are under contract, and negotiations have been going on for several months as Scooter steps into his larger role as Hybe America CEO," the source said. "People are spreading rumors based on what they know, but they are off."

Conversations about representation have been going on for months, but there is “no bad blood” between Braun and the clients, the source said. Bieber and Grande remain under contract with SB Projects "as they work through what this new structure looks like.”