Tencent Music to buy Ximalaya, an audio app used by 300 million users

Ximalaya, a platform for podcasts, audiobooks and music, could enhance Tencent Music’s competitiveness in the audio content market

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Ximalaya is a popular Chinese online audio platform. Photo: Handout

Published: 9:26pm, 10 Jun 2025

Tencent Music Entertainment Group, China’s largest online music platform by user count, announced on Tuesday its acquisition of audio content platform Ximalaya for about US$2.4 billion in cash and stock.

The Tencent Holdings subsidiary will offer US$1.26 billion in cash and up to 5.2 per cent of its total outstanding class A ordinary shares. It will also issue up to 0.37 per cent of its shares to Ximalaya’s founding investors.

As part of the deal, Ximalaya will restructure certain existing businesses. The transaction is subject to regulatory approvals, including antitrust reviews.

Ximalaya confirmed the merger in a notice, pledging to maintain its brand, operational autonomy, core management team and strategic direction. The company also assured business partners that existing contracts would be honoured and user rights would be protected.

Tencent Music is listed in New York and Hong Kong. Photo: Shutterstock

“We believe this partnership will unlock new opportunities for Ximalaya’s users, creators, employees, partners and shareholders,” the statement read.

Shares of Tencent Music in New York rose as much as 7 per cent in pre-market trading. Its Hong Kong-listed shares closed up 2.4 per cent on Tuesday before the announcement.