A China based music streaming company, Tencent Music Entertainment Group had raised over $1.1 billion on a US Initial Public Offering, according to the company statement, released on Wednesday, December 12th. The Erudite Chinese Tech Giant, Tencent Holding Ltd.
is chiefly on the gaming and social networking. However, its music arm, the Tencent Music Entertainment had recently gone through an initial public offering in US, and the IPO values ended up at $21.3 billion. The company statement said, the Tencent music sold its 41 million ADRs, while pre-existing shareholders sold their 40.9 million shares, where each share was initially priced at $13.
It is also the highest amount raised by a China based company on US, since 2014, when Alibaba Group Holding Ltd. had raised a record $25 billion in Initial Public Offerings. However, according to the deal value, the Tencent Music would be the fourth largest among the debutant Chinese firms, as the Video Streaming company, iQiyi led with its $2.4 billion listing, followed by online group discounter Pinduoduo Inc.
and electric vehicle maker NIO Inc. Considering the music streaming industry, the Tencent Music is the largest streaming platform in China with over 800 million active users and it is often termed as the “Chinese Spotify”, as the Spotify has over 65 million paid subscribers all over the world.