BTS' Suga reportedly turned one investment into a 40x jackpot; here's how

The SpaceX IPO turned into a money-minting machine for millions of investors when the Elon Musk-led company listed on the bourses. BTS' Suga must have raked in much more than these investors. 

But how and why? Suga made an early private investment in the company before the company's IPO, according to South Korean media reports. The BTS star invested in SpaceX through Link Asset Partners, a Korean venture capital firm known for its early stake in the company, instead of a direct share purchase, getting exposure to SpaceX before a public listing. 

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Given this investment, Suga may have earned windfall gains estimated at approximately 40 times his original investment. In practical terms, an investment of ₹1 crore would now be worth around ₹40 crore before taxes and other costs due to the sharp rise in SpaceX's private-market valuation over the past few years. 

The dramatic rise in the company's valuation is largely driven by the success of its Falcon rocket launches, rapid expansion of Starlink's satellite internet business and growing investor demand. The investment marks a diversification of Suga's portfolio in comparison to other BTS members, who often invest in domestic real estate. 

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About SpaceX's record-shattering IPO

SpaceX debuted on Nasdaq on June 12 at an issue price of $135 per share and a market capitalisation above $2 trillion.

SpaceX completed the largest IPO in history, raising over $75 billion by selling 556 million Class A shares on the Nasdaq. The company made roughly 30% of its initial shares directly available to individual retail investors, a substantially higher allocation than the typical 5% to 10% seen in regular IPOs. 

Elon Musk is the largest shareholder with an estimated equity of around 42% worth over $1 trillion. Besides Musk, Valor Equity Partners, Peter Thiel's Founders Fund, Alphabet, Fidelity Investments, Andreessen Horowitz, Darsana Capital Partners, and Baron Capital are among the top investors in the IPO.