Tencent Music’s offering could value the business in excess of $25 billion?

Tencent is preparing an IPO for its music-streaming division; following Spotify’s recent direct public offering, expectations are increasing for its Chinese counterpart.

The Wall Street Journal reported that Tencent is set to interview potential underwriting banks for an IPO in the US in the second half of this year. “Tencent Music’s offering could value the business in excess of $25 billion”, suggested the Journal, adding that this figure is based on recent private transactions in Tencent Music’s shares. That would mean the company’s value would have doubled since late 2017, when its stock-swap with Spotify valued Tencent Music at $12.5bn.

$25bn also compares well to the $26.5bn that Spotify was valued at at the end of its first day of trading earlier this month.