Spotify's market debut is worth billions for Tencent and Sony

Spotify's arrival on Wall Street is music to the ears of some of Asia's biggest tech companies.Chinese social ...

Posted: Apr 4, 2018 11:41 AM
Updated: Apr 4, 2018 11:41 AM

Spotify's arrival on Wall Street is music to the ears of some of Asia's biggest tech companies.

Chinese social media and entertainment firm Tencent and Japanese electronics icon Sony are two of the music streaming platform's biggest backers.

Tencent holds a 7.5% stake in Spotify, according to a regulatory filing. After Spotify shares started trading Tuesday, that stake is now valued at about $2 billion.

Spotify opened at $165.90 a share on the New York Stock Exchange. The stock later fell, closing below $150 a share and giving the company a market value of nearly $30 billion.

Spotify and Tencent's music subsidiary announced a share swap in December, taking minority stakes in each other ahead of expected stock market listings this year.

Related: Spotify valued at nearly $30 billion in unusual Wall Street debut

Tencent Music dominates music streaming in China through its QQ Music, KuGou and Kuwo platforms.

It also has a stranglehold on the streaming of mainstream Western music in China through exclusive deals with Sony Music, Universal Music Group and Warner Music Group. Under the arrangement, Tencent gets to decide which songs rivals can stream.

Tencent Music is reportedly preparing for an initial public offering later this year.

Spotify owns about 9% of Tencent Music, a stake valued at -910 million ($1.1 billion), according to a regulatory filing with the US Securities and Exchange Commission. That puts Tencent Music's overall valuation at around -10.1 billion ($12.5 billion).

Related: China's big streaming shift: Paying instead of pirating

Like some other major recording labels, Sony Music owns a big chunk of Spotify. Its 5.7% stake is now worth around $1.5 billion.

The streaming music industry has given a boost to Sony's music business, whose artists include Beyonc-, DJ Khaled and Justin Timberlake.

Sony Music has reported double-digit revenue growth for the past three quarters, citing an "increase in recorded music sales due to an increase in digital streaming revenues."

Spotify's other top shareholders are co-founders Daniel Ek and Martin Lorentzon, hedge fund Tiger Global and venture capital firm TCV.

Mississippi Coronavirus Cases

Data is updated nightly.

Cases: 296154

Reported Deaths: 6764
CountyCasesDeaths
DeSoto19700230
Hinds18851392
Harrison16736281
Rankin12757265
Jackson12623228
Lee9694161
Madison9480203
Jones7990147
Forrest7234138
Lauderdale6837226
Lowndes6032140
Lamar589680
Lafayette5740113
Washington5220130
Bolivar4616124
Oktibbeha441593
Panola431995
Pearl River4178131
Warren4134115
Pontotoc410571
Marshall403592
Monroe3990127
Union396174
Neshoba3817169
Lincoln3552104
Hancock348975
Leflore3380118
Sunflower318986
Tate303174
Pike301296
Scott294570
Alcorn292263
Yazoo290565
Itawamba290175
Coahoma281169
Tippah279265
Copiah278758
Simpson276280
Prentiss270258
Wayne254341
Leake252871
Marion252778
Covington249580
Grenada247878
Adams234678
George232145
Newton230852
Winston221877
Jasper213645
Tishomingo212665
Attala206669
Chickasaw201453
Holmes182370
Clay179251
Stone172429
Tallahatchie171239
Clarke169371
Calhoun158028
Smith153033
Yalobusha145036
Greene127833
Walthall124340
Noxubee122831
Montgomery122639
Perry122135
Lawrence120321
Carroll118625
Amite111734
Webster110832
Jefferson Davis102231
Tunica99323
Claiborne98829
Benton93824
Humphreys92927
Kemper90323
Quitman77414
Franklin76119
Choctaw69817
Jefferson62727
Wilkinson62426
Sharkey49117
Issaquena1676
Unassigned00

Alabama Coronavirus Cases

Cases: 497154

Reported Deaths: 10029
CountyCasesDeaths
Jefferson714001387
Mobile36252736
Madison32573462
Tuscaloosa24289414
Montgomery22708519
Shelby22112215
Baldwin19856285
Lee15021155
Calhoun13755288
Morgan13742252
Etowah13379320
Marshall11439210
Houston10110262
Elmore9451185
Limestone9413136
St. Clair9003225
Cullman8979182
Lauderdale8610212
DeKalb8486175
Talladega7582165
Walker6571259
Jackson6542103
Autauga631391
Blount6229127
Colbert5998120
Coffee5259103
Dale4657107
Russell406433
Franklin399778
Covington3989106
Chilton3891100
Escambia378772
Tallapoosa3613143
Clarke343953
Chambers3423111
Dallas3419142
Pike293372
Marion288895
Lawrence284683
Winston258668
Bibb245960
Geneva240270
Marengo238357
Pickens225055
Barbour212951
Hale211969
Fayette201357
Butler201166
Henry182941
Cherokee177739
Monroe166639
Randolph164640
Washington156635
Macon147243
Crenshaw146254
Clay145554
Cleburne139741
Lamar133733
Lowndes132551
Wilcox122525
Bullock117236
Conecuh107024
Perry105927
Sumter99432
Coosa89624
Greene88532
Choctaw55123
Out of AL00
Unassigned00
Tupelo
Clear
44° wxIcon
Hi: 72° Lo: 36°
Feels Like: 40°
Columbus
Clear
46° wxIcon
Hi: 71° Lo: 36°
Feels Like: 46°
Oxford
Partly Cloudy
41° wxIcon
Hi: 72° Lo: 33°
Feels Like: 41°
Starkville
Clear
37° wxIcon
Hi: 71° Lo: 35°
Feels Like: 37°
WTVA Radar
WTVA Temperatures
WTVA Severe Weather