A Tencent Holdings-led consortium will acquire an additional 10 percent of Universal Music Group, in a deal that values the world’s biggest music company at 30 billion euros (US$36.8 billion). The purchase will bring Tencent’s holding in the music group to 20 percent following a deal last year for a stake at the same valuation. Vivendi will also sell additional minority stakes in UMG ahead of its plans to list the unit by 2022. The company plans to use cash from the deals to reduce debt and to finance share buybacks and acquisitions. UMG’s entry onto the stock market could give the music group more financial clout to compete with rivals such as Warner Music Group and Sony Music Entertainment.

Source: The Standard December 18, 2020 09:11 UTC