Naspers’s stake in Tencent Music Entertainment Group is worth more than Tiger Brands’s entire market value, going by the Chinese music-streaming service’s initial public offering (IPO) in the US this week. "The size and scale of Tencent Music is very impressive. Through its stake in Tencent, Naspers will have at least 16% exposure to this fabulous business," Vestact portfolio manager Byron Lotter said in a note to clients on Wednesday. "How lucky we are to have access to such scale," Lotter said. Naspers indirectly holds about 17.9% of Tencent Music, but could take on a direct stake in the company. Following the IPO, Tencent said it planned to declare a special dividend to shareholders worth about HK$250m (R451m). “Naspers will have the right to own shares in Tencent Music or may elect to take cash in lieu... No decision has yet been made whether to take the shares or cash,” a spokesperson for the company said on Thursday. Tencent Music’s shares rose after they started trading in Ne...

Subscribe now to unlock this article.

Support BusinessLIVE’s award-winning journalism for R129 per month (digital access only).

There’s never been a more important time to support independent journalism in SA. Our subscription packages now offer an ad-free experience for readers.

Cancel anytime.

Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.

Speech Bubbles

Please read our Comment Policy before commenting.