NEW YORK (CelebrityAccess) Tencent Music Entertainment has announced the pricing of its IPO offering of 83 million American Depositary Shares at $13 per, which began trading today on the NYSE under the symbol TME.
The offering is expected to close Dec. 14. Of the shares, 41 million are offered by the company and 41 million are offered by the selling shareholders. The total gross proceeds of the offering are expected to be approximately $1 billion if the underwriters do not exercise their over-allotment option and $123 billion if they do.
The $1.1 billion is “at bottom of price range,” considered half of what Tencent was reportedly planning to raise earlier this year. The IPO was reportedly delayed in October because of market volatility. Unlike Spotify, Tencent, a nearly $500 billion company, will have a reported net profit when it launches the IPO. Seeking Alpha, home to articles by pumpers and shorters, says it is a “conviction buy” with “75 percent upside.”
Morgan Stanley & Co. LLC, Goldman Sachs (Asia) L.L.C., J.P. Morgan Securities LLC, Deutsche Bank Securities Inc., and Merrill Lynch, Pierce, Fenner & Smith Incorporated are acting as joint bookrunners of this offering.
Tencent Music Entertainment Group Cina’s s leading online music entertainment platform with music apps QQ Music, Kugou Music, Kuwo Music and WeSing.