KQ Entertainment (CEO Kim Kyu-wook) announced on January 15 that it has signed an initial public offering (IPO) agreement with Mirae Asset Securities to prepare for its IPO.
According to the company, KQ Entertainment plans to reorganize its internal organization and begin preparing for an IPO, with the goal of going public next year.
Founded in 2013, KQ Entertainment is a comprehensive entertainment company that produces artists targeting international markets, such as ATEEZ and XIKERS. Considered one of the emerging powers in the global K-pop trend, it has quickly gained international popularity, primarily in the United States and Europe. ATEEZ, in particular, entered the Billboard 200 in 2021 and reached number one on the same chart with its second album in 2023. With its 11th mini-album released last November, they reached number one on the Billboard 200 for the second time. XIKERS also demonstrated the international competitiveness of KQ Entertainment artists by placing both of their albums in the top 100 of the Billboard 200 less than a year after their release.
Along with the growth of its intellectual property, KQ Entertainment has seen remarkable growth in profits. Its revenue increased from 46.4 billion won and its operating profit from 4.4 billion won in 2022 to 65 billion won in 2023 and 5.9 billion won in 2024. Last year, the group recorded revenue of 115.8 billion won and an operating profit of 12.5 billion won. Over these two years, revenue increased by approximately 150% and operating profit by approximately 184%. This growth was attributable to performance sales. Compared with the previous year, performance sales increased by approximately 240%, and the share of these sales also increased from approximately 25% to approximately 49%.
ATEEZ, one of its flagship brands, is a K-pop boy band launched in 2018. It recently successfully completed its world tour, which began last year. It kicked off in Seoul, then traveled to Japan and North America, before stopping throughout Europe, where it met fans from around the world.
The group notably held 13 concerts in 10 cities across North America, attracting 200,000 spectators. It also demonstrated its popularity in North America by participating in the Coachella Valley Music and Arts Festival, the largest music festival in the United States, for the first time among K-pop boy bands. ATEEZ has also demonstrated its global influence in Europe. Since last January, it has held 14 concerts in nine countries, including England, Germany, and France, adding concerts thanks to the enthusiasm of local fans. He notably proved his position as a leading K-pop artist by holding a solo concert at La Défense Arena in Paris, which can accommodate around 40,000 people, as the “first K-pop artist.”
Also noteworthy is the debut of XIKERS in 2023. XIKERS is the “5th generation” K-pop boy band emerging from KQ Entertainment‘s new development system. After debuting in October 2023, they embarked on their first world tour approximately six months later. They visited two cities in Japan and six in the United States through November. They also toured seven European countries and two Australian cities starting last January, becoming the first Korean boy band to successfully complete a European tour after the United States.
KQ Entertainment‘s revenue growth is expected to continue thanks to the outstanding performances of ATEEZ and XIKERS. ATEEZ’s new world tour will kick off in July of this year and will include concerts in five cities across North America, including the largest venues and stadiums. XIKERS will also embark on a new world tour in May to expand their international influence.
Kim Kyu Wook, CEO of KQ Entertainment, said, “We will create new growth engines by producing not only ATEEZ and XIKERS, but also various international artists through this listing. With Mirae Asset Securities chosen as the CEO, we will carefully prepare for a successful listing.“
Journalist: Shawn
Translator: Shawn
Source: KQ Entertainment
