UMG-TENCENT DEAL CLOSES; MORE SALES AHEAD?

Tencent Holdings' acquisition of 10% of Universal Music Group for about €3b ($3.3b) has formally closed. Parent company Vivendi is now looking for more buyers.

“Now that this very significant strategic operation has been completed, Vivendi will pursue the possible sale of additional minority interests in UMG, assisted by several banks which it has mandated,” the French company announced Tuesday morning.

Vivendi will use the proceeds “for substantial share buyback operations and acquisitions.”

Despite the shake-up of the world’s financial markets due to the Coronavirus, the company is still looking at an IPO of UMG by early 2023.