Deals
Tencent's U.S. Music IPO Reflects More Upbeat Recording Industry
- Streaming services have boosted a market plagued by piracy
- Move follows spinoff of Tencent’s reading business last year
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Tencent Holdings Ltd.’s plan to spin off its online-music business and list shares in the U.S. is the latest sign that the long-beleaguered recording industry is staging a comeback.
The move will let American investors bet on the Chinese market for music-streaming services, which have brought new life to a business that’s been plagued by piracy. Tencent’s growth in China also mirrors inroads by partner Spotify Technology SA in the U.S., where streaming has helped music sales grow at their fastest rate since the 1990s.