Tencent Music completes US$2.4bn buyout of Ximalaya

Tencent Music Entertainment Group (TME) has finalised its US$2.4 billion (HK$19.8 billion) acquisition of Ximalaya, one of China’s largest audio and podcast platforms.

As confirmed in separate filings with the Hong Kong Stock Exchange and the US Securities and Exchange Commission on Monday (18 May), Ximalaya will operate as a wholly-owned subsidiary of TME.

In an internal staff memo obtained by Jiemian News, TME said the deal aims to create greater user value and open up broader horizons for the online music and audio industries.

It added that the move is driven by a long-standing strategic alignment between the two companies. TME, a pioneer in China’s online music industry, has been at the forefront of driving music copyright compliance and working with industry partners to cement the long-term value of licensed content, according to the memo.

Ximalaya, meanwhile, has established itself as a critical builder of China’s long-form audio landscape, amassing a vast library of audio content across all major categories and serving users of all ages. The platform has also forged deep copyright partnerships with a wide range of rights holders.

To foster a smooth transition and sustainable long-term growth through mutual support and collaboration, the company remains dedicated to elevating the user experience, noting that "music and audio together create a rich and nuanced sensory experience, while also providing deep emotional nourishment and spiritual comfort."

It is for these moving moments that they continue to strive and surpass themselves, ensuring that more people can discover both themselves and the world around them through the melodies and voices they hear.

MARKETING-INTERACTIVE has reached out to TME for more information.

Don't miss: Tencent Music acquires nearly 10% stake in SM Entertainment

The acquisition comes on the heels of robust financial performance for TME. The group recently announced its unaudited Q1 financial results, reporting total revenues of RMB 7.90 billion – a 7.3% year-over-year increase driven primarily by a 12.2% surge in music-related services, which brought in RMB 6.51 billion.

This buyout also marks TME’s latest major strategic move following its international expansion last year. In May 2025, TME Hong Kong acquired nearly a 10% stake in major K-pop agency SM Entertainment, becoming its second-largest shareholder. The deal represented a rare Chinese investment in a South Korean entity and marked the largest Chinese investment in South Korea's entertainment industry since 2016.

Mark your calendars for 24 June! #Content360 Hong Kong returns with a dynamic, one-day event dedicated to pivotal trends—from the silver economies to breakthrough IP collaborations, sports, and beyond. Let's dive into the art of curating content with creativity, critical thinking and confidence!

Related articles:
Tencent Music acquires nearly 10% stake in SM Entertainment
Publicis Groupe to acquire sports agency 160over90