Big Hit Entertainment (the company BTS is affiliated with) is going into the process of the initial public offering (i.e. will be listed in the stock market). Along with this development, some news have surfaced, which are very important for ARMY!
According to the published official document, there are statements about the number of shares BTS members to have in the company, as well as compulsory military service.
On a page detailing the risks of investing in the company, Big Hit said, “ BTS is comprised of members born between 1992 and 1997, who should be recruited as active duty soldiers. It was evaluated that it would be possible for the oldest member, Kim Seok Jin (Jin), to postpone his enlistment until the end of 2021, according to the military law. “
In order to prepare for the risk of suspending the activities of artists due to military service, illnesses or accidents, the company continues to increase the rate of revenue generated by products that do not require the direct participation of artists such as merchandise. We review a wide variety of work options, such as pre-produced albums and video content, and the flexible work of artists who can do this. ”
It was announced in the registration statement that Bang Si Hyuk , the biggest shareholder of Big Hit Entertainment, gave 68,385 shares to seven BTS members. If the IPO price is set at the maximum amount requested by Big Hit, which is 135,000 won (approximately $ 114), each member will hold a total stake of 9.23 billion won (approximately $ 7.78 million).
Big Hit Entertainment stated that the purpose of gifting members shares is “to strengthen long-term collaborative relationships with core artists and to increase their motivation by sharing the results of the company’s growth”.
To summarize, BTS members each will own approximately $ 7.78 million worth of Big Hit’s shares and Jin’s military service has been delayed to the end of 2021.
ARMY, the improvements are quite good, right?
