Tencent Music Entertainment Group has selected banks to arrange its planned second listing in Hong Kong, which could raise as much as $5 billion, according to people familiar with the matter.
JPMorgan Chase & Co and Morgan Stanley are among arrangers chosen to lead the offering, said the people, who asked not to be identified as the information is private. A listing of the Chinese music-streaming service in Hong Kong could happen as soon as this year, the people said.
More banks could be added to the share sale and details including size and timeline could still change, the people said. Representatives for JPMorgan, Morgan Stanley and Tencent Music declined to comment. The online-music arm of Tencent Holdings raised about $1.1 billion in its US IPO in 2018 after pricing the offering at the bottom of a marketed range. Its shares have since almost doubled, giving the company a market value of about $42 billion.
Tencent Music’s second listing will provide another boost to Hong Kong’s already-hot capital markets.
Chinese short-video startup Kuaishou Technology nearly tripled in its debut in the financial hub after a $5.4 billion IPO that attracted hundreds of billions of dollars of orders. Internet search engine giant Baidu and online car-trading platform Autohome are seeking listings in Hong Kong as soon as this year, Bloomberg News has reported.