Today, Universal Music Group, the biggest record company in the world, sold a 10% stake in the company to Chinese tech and entertainment giant Tencent. The $3.3 billion deal values Universal at $34 billion. Under the agreement, Tencent may purchase an additonal 10% of the company at its option by January 2021. Tencent will also take a minority stake in UMG’s China operations. Tencent already has a 7.5% stake in streaming industry leader Spotify.

UMG's Sir Lucian Grainge issued a statement to employees: “With the exception of additional resources to further advance our strategy, everything else will remain the same: our strategic vision; our company, label and business unit names; our locations; and of course, our outstanding people. This is an exciting development reflecting a strong validation of our business strategy, our incredible team and your excellent work. It also reflects our shared optimism about UMG’s continued role as the driving force in our industry and how focused we are on the future.”