China’s Tencent Holdings announced on Tuesday that it has led a consortium of companies that have bought a minority stake in Universal Music Group (UMG), one of the most prominent music companies and home to Taylor Swift, Drake among others.
Tencent signed an agreement with UMG owner Vivendi to acquire a 10% stake in a deal that values the music company at 30 billion Euros, or roughly $33.7 billion.
The Tencent-led consortium is joined by Tencent Music Entertainment Group and other global financial investors. The two companies expect the deal to close in the first half of 2020.
The consortium will have the option to acquire an additional 10% equity stake in UMG until Jan.