NEW YORK (CelebrityAccess) Tencent Music Entertainment, aka TME, is said to file for an application for an IPO in the U.S. this week, according to a report by China-based news group Sina.
TME, which is majority-owned by Chinese corporation Tencent, owns Chinese digital music services QQ Music, Kuwo and KuGou. Sources say that TME will file the application with the Securities and Exchange Commission on Friday, according to Music Business Worldwide.
To put $30 billion into perspective, Spotify currently has a market cap of $29.6 billion, according to Music Business.
TME posted revenues of nearly $753 million in 2016 with a net profit of nearly $91 million, according to Sina. In 2017, those numbers jumped to a net profit of $283 million and revenues are expected to exceed $2.6 billion this year, Sina reported.
In December, Tencent took a 9.1 percent stake in Spotify with a quarter of that owned directly by TME, according to Music Business Worldwide.