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RMB 2144 mlnRMB 3149 mln

Tencent Music

The largest online music platform
IPO
Medium risk

The company's revenue from 2017 to 2018

Estimated Gains
100 % annually
Min. Amount
5,000 $
Requests up to
7 Dec 00:00
Finish
17 Mar 2019
Commissions
Enter3.5 %·Leave3.5 %·Success10 %

Invest in Tencent Music

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Investment Idea Details
About the company

TME has developed the largest online music entertainment platform in China, operating the top four music mobile apps in terms of mobile MAUs (monthly active users) in the second quarter of 2018.

The platform comprises online music, online karaoke and music-centric live streaming services, supported by company’s content offerings, technology and data.

With over 800 million total unique MAUs (monthly active users) across its four main products in the second quarter of 2018, user base covers the full spectrum of user demographics in China. The company offers the largest music content library with over 20 million tracks from over 200 domestic and international music labels, as of June 30, 2018.

Growth opportunities

Tencent and its subsidiary Tencent Music operate in the “pan-entertainment” market: a market of multi-level products that are based on a company’s intellectual property; in other words, the company aims connecting as much users as possible by providing them with access to various services from a single account: social networking, gaming, video and music streaming, etc.

According to iResearch, the overall size of China's online music pan-entertainment market reached approximately RMB33.0 billion in terms of revenue in 2017, and is expected to grow to RMB215.2 billion in 2023, representing a CAGR of 36.7% from 2017 to 2023.

Risks

If there is a loss of partnerships with major music content providers, the breadth or quality of content offerings may be adversely affected or content acquisition costs may increase.
The revenue model for online music entertainment services is relatively new in China and may not be effective, which may cause us to lose users and materially and adversely affect our business, financial condition and results of operations.

Recent Similar IPOs

Spotify is a global music streaming service legally offering free-of-charge listening to music. The 3-months share price performance is +28%.

iQiyi is an online entertainment platform giving access to video content in China: films, TV series, TV shows and anime; its US peer company is Netflix. The 3-months share price performance is +79%.



How IPO Investments Work

1.
Collection
of funds

2-3 weeks before the start of the company publishes information about the opening of trading: financial statements for 3 years, a description of the company's business, plans for the future, as well as the risks that management sees in their own business. We analyze such offers and publish the best ones. Investors apply for deposits. Before the deadline for applications, you can change the request or cancel it.

Publication
18 Oct
Threshold amount
5 000 $
2.
Buy shares

We submit one large application for the purchase of shares by pre-subscription with reduced price to large investors. The application may be rejected in part or in full. Over the past three years, our applications have been rejected only three times. The next day, or every other day, we'll know at what price and at what percentage the order is executed, and we'll post it on «The my investment page».

Submit applications before
7 dec
3.
Start Bidding

The price of shares is rising from the first day due to the demand of investors deprived of the opportunity to buy shares before trading. Most of the stocks we've been recommending buying over the past three years have been starting to trade on the stock exchange at tens of percent higher than the price at which customers bought the shares. There comes a Lock up period when it is forbidden to sell shares purchased by subscription. Typically lasts 3 monthsOn early closing of investments.

Start Bidding
12 dec
Annual return forecast
+ 100%
4.
Receiving
profit

After the expiration of the Lock Up period, the investment is automatically closed and the investor receives a profit on account of the deduction commissions UT. You can always view the results of your past investments in investment archive.

End
18 feb

Early profit fixation

Although no shares are allowed to be sold during the lock-up period, our traders seek to offer investors fixed profit by way of using various financial instruments, including forwards, options, short positions etc.

From the investor’s point of view this means that he or she may close an investment by paying a certain part of its value (as a rule, approximately 15 percent). This is due to high prices for the instruments which are employed to ensure availability of fixed profit. As such, you shall press any relevant button in the Investor Account as soon as it is active.

The closing procedure is similar to commencement of investment business. You shall file a bid which is executed within a business day by UT. So, your investment is closed at the price currently prevailing on the stock exchange.

Fee

FOR ENTRY

3.5 per cent of the share price. This fee is charged as soon as your investment bid is confirmed.

FOR EXIT

3.5 per cent of the purchase price paid for your shares as soon as trading is closed. This fee is charged upon closure of any relevant investment.

SUCCESS

10 per cent of the profit your derive. This fee is charged only if you show positive performance as of the moment any relevant investment is closed.

TO EARLY EXIT

Usually, 15 per cent (depends on the stock exchange environment). It is calculated per each investment individually.

Advantages Enjoyed by Those Investing with United Traders

Reliability

Our risk managers ensure proper support throughout the entire transaction. Moreover, you may call them on +7 495 646-15-57 or 8 800 333-66-81 or visit our office, if a more detailed discussion is needed.

In the profit from the first day

Such an approach allows it to limit extra risks related to bankruptcy of start-ups and considerably increase profit vs investors purchasing shares on open Market.

Low entry threshold

Millions of dollars are required to buy shares on a subscription basis. We have generated a pool of traders and investors which enables any newbie to participate in any transaction as aforesaid by investing just USD5,000 or more.

Invest in Tencent Music

Please, log in or sign up to invest in Tencent Music