Tencent Music Entertainment Group (TME) – the largest music streaming company in China and the owner of QQ Music, Kugou, Kuwo and WeSing – has officially filed to float in the US.
In an F-1 filing uploaded today to the Securities and Exchange Commission (October 2), TME listed a placeholder registration for $1bn and applied to list on the New York Stock Exchange and NASDAQ Global Market.
TME has recently reportedly halved its plan to raise $4bn via a listing in the States, and is now looking to raise $2bn.
It has filed to list in the US, predictably, with the ticker TME.
The F-1 reveals some financials about Tencent Music: it shows that in the six months ended June 30 this year, TME’s revenues grew to RMB 8,619 million (US $1.3bn) compared to RMB 4,485 million in the same period of 2017.
Gross profit in H1 2018 jumped to 3.48bn yuan ($526m) versus the prior-year period’s 1.38bn yuan – a 151.7% year-on-year rise.
Tencent owns 58.1% in TME, while Spotify owns 9.1% thanks to a ‘stock swap’ which took place at the close of last year between the two streaming companies.
The TME IPO filing is underwritten by the likes of BofA Merrill Lynch, Deutsche Bank, Goldman Sachs (Asia), J.P. Morgan, Morgan Stanley, Allen & Co., BOCI, CICC, China Renaissance, Credit Suisse, HSBC, KeyBanc Capital Markets and Stifel.Music Business Worldwide