South Korean entertainment company Big Hit Entertainment, which manages K-pop band BTS, debuted at more than double of its initial public offering price on October 14.
Big Hit shares opened at 270,000 won compared with an IPO price of 135,000 won per share on Korean bouses, and rose 30 percent during the session to register a market value of 11 trillion won. Big Hit’s $820 million offering was South Korea’s largest in three years.
The label relies heavily on BTS as the Billboard-topping group accounted for 87.7 percent of its revenue in the first half of 2020, according to a regulatory filing.
Following the surge in shares, Big Hit founder Bang Si-hyuk's net worth reached $3.8 billion, one of the biggest fortunes in Korea. According to media reports, he also shared his stake with BTS, giving each member 68,385 shares of the company in August, a stake valued at more than $20 million at the stock high.
