CHINA (CelebrityAccess) – Chinese media & tech giant Tencent has confirmed that Tencent Music Entertainment (TME) will be floating an IPO on the U.S. stock exchange.
Though the company has not yet revealed a timeline or additional details on the size of the proposed stock offering, recent reports have suggested the move could value Tencent Music at more than $30 billion.
A valuation of this scale would put Tencent Music on a par with Spotify, which went public back in April.
The two companies already own stakes in one another––Tencent owns a 9.1% stake in Spotify while Spotify owns a non-controlling equity interest of approximately 9% in Tencent Music Entertainment––following a share swap that took place last December.
With China now becoming one of the Top 10 biggest music markets globally––the nation generated $292.3 million for labels and artists last year according to IFPI figures––Tencent Music dominates the nation’s music streaming market through its QQ Music, KuGou, and Kuwo platforms.
Currently, Tencent has approximately 700 million users monthly with 25 million being paid subscribers.