BTS label Big Hit Entertainment files paperwork for October IPO

BTS [JOONGANG ILBO]

Big Hit Entertainment submitted a securities registration statement with the Financial Services Commission on Wednesday with an aim to go public on the Kospi market by October.

The entertainment label behind K-pop phenomenon BTS said it will publicly offer 7.13 million shares to raise between 748.7 billion won ($630.8 million) and 962.6 billion won. The expected price range per share is between 105,000 won per share to 135,000 won per share.

The book building on institutional investors will be held on Sept. 24 and 25, followed by subscriptions from retail investors on Oct. 5 and 6.

NH Investment & Securities, Korea Investment & Securities and JP Morgan have been selected as lead underwriters of the initial public offering (IPO).

The explosive liquidity from retail investors in the stock market recently is expected to inject the funds that the entertainment label needs in order to expand its global music business.

If the IPO goes as planned, Big Hit Entertainment’s market capitalization will land between 3.5 trillion won and 4.5 trillion won.

The seven-member boy band BTS recently landed on the top spot of the Billboard Hot 100 list with its single “Dynamite,” becoming the first Korean act to do so.

BY JIN EUN-SOO [jin.eunsoo@joongang.co.kr]