The music arm of China’s social media and gaming giant Tencent is expected to go public on December 12, people familiar with the matter told the Financial Times, defying markets’ recent bearishness on Chinese tech firms.
According to one source, the roadshow for the IPO will begin after the G20 summit next week in Buenos Aires, at which a meeting between Presidents Xi Jinping and Donald Trump will offer a bellwether for the future trade relationship between the two countries.
Any deal or tariff ceasefire would relax markets ready for the debut, the source said, while another warned that a negative outcome of the summit could force Tencent Music to shelve the listing.
The company has already delayed its IPO once this year because of market volatility.
Tencent Music was set to be one of the largest China tech listings on record, but a series of weak debuts from other mainland tech heavyweights has soured market sentiment for the industry.
The company has already halved its plans to raise $4 billion down to $2 billion, according to the sources. It hopes to earn a valuation of $30 billion.