Topic
Tencent Music Entertainment is the largest online music platform in China. Its apps KuGou, QQ and Kuwo are considered the three most popular music-streaming apps in China. Swedish music-streaming giant Spotify is its largest shareholder.
- Dual primary listings in Hong Kong and NYSE will broaden its investor base and enhance its share liquidity, firm says
- Lufax shares in the US jumped 7.9 per cent overnight following the announcement
Tencent Music beat analyst estimates for third-quarter revenue and profit, boosted by a recovery in advertising sales and an increase in the number of paying users.
The positive response to Tencent Music’s listing is a shot of confidence for the growing queue of Chinese companies that are seeking a sanctuary closer to home amid rising US-China tension.
Some users of QQ Music, a music streaming app operated by Tencent Music Entertainment Group, said they wanted a refund for their NFTs.
The NYSE-listed company has proposed the listing of its class A ordinary shares by way of introduction on the main board of the Hong Kong stock exchange, according to exchange filings on Thursday.
About 80 of the 250 US-listed Chinese companies, or 90 per cent of all ADR capitalisation, can satisfy the requirements for direct or secondary listings in Hong Kong, China Renaissance said in a January report.
China’s market watchdog continues its sweeping antitrust crackdown.
Goldman Sachs sold stakes in Chinese technology giants and US media groups on Friday. sparking a US$35 billion slump in values. Reports speculated ‘forced deleveraging’ by investment banks with ties to Archegos Capital Management on margin calls.
The authorities had been investigating Tencent’s licensing deals with the world’s three largest record labels, Universal Music Group, Sony Music Entertainment and Warner Music Group.
Unlike Western peers such as Spotify Technology, Tencent Music generates only a fraction of revenue from music subscription packages, relying on online karaoke
Their inclusion is likely to benefit them in the long term because they may attract global funds that track such indexes, said analysts
The accusations come ahead of the much-anticipated New York IPO for the music streaming service operator, which is the biggest in China
Valuation lower than anticipated US$2 billon but would still be one of the largest by a Chinese firm in the US this year.
The music-streaming site listed its offering size as US$1 billion in a filing Tuesday with the US Securities and Exchange Commission; platforms are becoming important vehicles for US pop stars such as Katy Perry and Rihanna to reach Chinese audiences.
