Negative effects for the BTS record label, after the surprise announcement of the band

a significant stock crash on the Seoul Stock Exchange is one of the main consequences suffered by Hybe, the communication group behind BTS, after the success of the South Korean band of k pop will announce this Tuesday that it will disband temporarily so that its seven members can focus on their solo careers.

Specifically, the stock of the company founded by Bang Si-hyuk started this Wednesday with a drop of 22.82 percent compared to the close on Tuesday, thus bordering its historically low valuation of 140,000 won per share.

Meanwhile, the company’s stock market value has already dropped 60 percent in 2022 and is getting closer and closer to its lowest price since its IPO in October 2020.

When Hybe – which then operated under a different structure and under the name of Big Hit Entertainment – went public in October 2020, many analysts expressed doubts about an asset whose turnover depended more than 90 percent on one of the few bands that represented at the time, BTS. .

However, Hybe has diversified its business considerably over the past couple of years, acquiring new labels and observing seemingly bands of great potential, such as the recently launched female group Le Sserafim. Additionally, a global audition began last week to take on a new male band.

Announcement of temporary dissolution of BTS

After more than a decade together, and many hits and records behind it, BTS broke the news that few expected at its traditional annual fan dinner on June 13, the anniversary of its creation.

There, as is tradition for this date, his followers receive gifts such as songs, merchandise and even a video in which the band members are seen eating and celebrating their anniversary.

At that meeting known as FESTA, it was RM who took the floor and announced that it was time for everyone to work “alone” and thus develop their solo career.

“We are not separating; we’re just taking some time apart“were SUGA’s words when it became known that Bangtan would be taking a break.

The one who talked about it the most and was quite impressed by it was RM, for many the leader of the group. He didn’t hide his sadness and finally cried: “After releasing the single Butter & Permission to Dance, right now, we have lost direction and I just want to take some time to think.”

“We never know how long we will be together, but I hope we will last a long time. And even if we can’t act / act as well as we have in the past, I always want to be the RM of BTS,” he said added.

Jimin, for his part, also explained the situation and asked ARMY to accompany them in this new phase, which officially begins with J-Hope’s show at the next Lollapalooza. “Having been a group for so long, I feel like I’ve become a machine. I also have my hobbies and things I want to do on my own,” she said.

Sales record in 2021

In March of this year, the International Federation of the Phonographic Industry (IFPI) today released the balance of sales and consumption of recorded music in the world in 2021. And at the top remained the Korean group BTS.