South Korean company Big Hit Entertainment, the most productive known for being the headquarters of September BTS, went public on Thursday, October 15, and since then it has been something of a roller coaster with inventory costs rising and then falling, but on the The finale turned out to be a huge hit for Big Hit.
Made public at KosPI in South Korea, Big Hit issued shares for KRW 135,000 (about $115) – eventually opened at 270,000 KRW — raising 962. 55 billion KRW ($822 million) and valuing the company at KRW 5. 8 trillion ($4. 1 billion) The massive valuation resulted in the seven BTS members, each holding more than 68,000 shares in the company , which Bloomberg estimates is now worth $8 million according to the member, and that its producer, Bang Si-hyuk, now has a value of approximately $1. 4 billion.
Massive initial interest, however, fluctuated during the first week and surprised some investors; After the opening day final of October 15 on KRW258000 consistent with the consistent percentage (just under $225), the valuation of consistent percentages fell, with the corporate final the following day, Friday, October 16, at 200,500 KRW (just over $175) According to The Korea Herald, the fall was due to the sale of consistent percentages through foreign and institutional buyers , even when retail investors, more general consumers, continued to invest and shop consistently with percentages, which helped keep Big Hit’s consistent percentages. superior but volatile.
The decline has been attributed through some to the fact that Big Hit Entertainment is overrated through subscribers and to the company’s reliance on BTS, as interest in the company is largely based on the good luck of the law, one of the biggest pop cultures. entities of this generation and the company’s main source of profit over the more than seven years. vending corporations, BTS remains guilty of approximately 90% of profits from the first half of BTS.
But Big Hit’s stock fluctuation, while a possibility of a primary investment loss for many, is still well above its factor value and is expected to stabilize in the coming weeks as unbridled warmth of the aperture decrease.
The volatility of Big Hit Entertainment’s inventory in the early days, and in the weeks and months to come, is not unexpected for anyone familiar with K-pop’s global investments: investing in South Korean entertainment corporations is somewhat tumultuous, given that public opinion adjustments in various instructions and the price of inventories can be directly similar to things like the news that a corporation artist is coming out or the announcement of an upcoming launch. Existing fluctuations, although not similar to such themes, remind us of this industry standard: however, in this case, it is the reputation of the Big Hit brand, without that of individual artists or artists, which is the possibility for investors to slide.
Big Hit Entertainment is lately one of the highest value entertainment entities in South Korea and global media in general, and is expected to be a major player in the industry for years to come. Last year alone, its operating profit exceeded its combined operating profit, until Big Hit’s IPO of the largest publicly traded K-pop corporations: SM Entertainment, YG Entertainment, and JYP Entertainment. Known collectively as the historic ‘Big 3’ of global K-pop, the 3 oldest corporations have also noticed stocks fluctuate, with increases in investment and declines in sales directly correlated with various moments of public ups and downs. The initial public offering was a moment of exclusive interest from local and global investors for a South Korean entertainment company, betting heavily on Big Hit’s ability to continue to have great success. Whether it’s with BTS and other acts, adjustments are on the horizon. Array In particular, BTS members will have to enlist in the South Korean military for years to come, as all trained men must serve in the country’s armed forces for a period of time. it was about 1. 5 to 2 years. years, because the Korean War never technically ended.
While this potential disruption may have an effect on Big Hit’s biggest cash producers, investors still spent the IPO showing not only their interest but also their help for the company. Aside from fluctuations as inventory costs stabilize, monetary establishments and informal investors are betting on the long-term ability of the company to maintain its position in the most sensitive position not only in the Korean entertainment industry. from the South, but also from the South Korean entertainment industry. the global of global media. While there is some fear that there will be more position dumping in the inventory market in the short or long term if investors finally realize that Big Hit is indeed overvalued, the general interest in the company and its media acumen remains high and deserve to continue as such. The IPO came just ahead of upcoming releases from not just BTS, but also several other high profile teams in the company that added Seventeen, GFriend, and Tomorrow X Together, each following one another as a forward-looking reminder of what the partnership will hold. what to do. . offer your investors wonderful entertainment content hits.
The year 2020 has reminded the world that nothing is a safe bet, but BTS, and the entertainment company behind the act, is one of the things that is as close as possible, even if it will take some time for Big Hit percentages. to stabilize, since investors, not subscribers, in the end calculate the price of the business. The effect of these investments on the long term of the company is not yet known. But while there could be a domino effect as investors turn out to be here or there, until the end of the day, Big Hit has already won with the highest percentage of South Korea since July 2017, and the effect of the IPO will be felt on the company and industry at large for some time.
I am a New York-based journalist who specializes in foreign music and media and specializes in the Asian pop culture market and its trends, as well as being a K-pop.
I am a New York-based journalist who specializes in foreign music and media and specializes in the Asian pop culture market and its trends. In addition to being a K-pop columnist for Billboard, I have written for media such as NBC News, Entertainment Weekly, The Village Voice, MTV and Noisey. My first eBook “BTS: Blood, Sweat