What happened: China’s biggest music-streaming company Tencent Music has lowered its expected IPO fundraising from $3-4 billion to $2 billion, according to Reuters sources. The Tencent subsidiary is due to list at the New York Stock Exchange and is expected to be one of the biggest Chinese tech listings in the US this year, even bigger than streaming site iQiyi’s $2.42 billion IPO in March.
Why it’s important: Tencent has denied Reuters’ report although it has not specified which part of the report is untrue. Tencent Music will be the latest in a series of Chinese companies to file in the US this year following NIO and Pinduoduo. The subsidiary’s float follows that of Swedish music streaming service Spotify earlier this year. In 2017, Tencent and Spotify agreed to a share swap after which Tencent ended up with a 7.5% stake in Spotify.