Thailand’s GMM Music, backed by Chinese tech giant Tencent, is preparing to go public on the Stock Exchange of Thailand. Notably, Tencent boasts billionaires Ma Huateng and Martin Lau among its top shareholders.
GMM Music intends to offer 228.8 million shares, representing 26% of the planned IPO, with parent company GMM Grammy retaining the largest shareholding of no less than 63.55%, as per GMM Grammy’s announcement. The IPO is subject to approval from Thailand’s Securities and Exchange Commission.
In a strategic move in June 2024, Tencent subsidiary Tencent Music Entertainment (TME) disclosed a 10% acquisition of GMM Music for $70 million, valuing the company at $700 million. This involved a $45 million cash payment and the transfer of 30% of TME’s stake in Thai online music platform Joox Thailand to GMM Grammy.
GMM Grammy unveiled the IPO initiative last year, with plans to utilize the funds for debt repayment and expansion into new markets, emphasizing China’s vast opportunities. GMM Music represents prominent Thai artists such as Bird Thongchai, Peck Palitchoke, and rock band Bodyslam.
GMM Grammy, a significant Thai entertainment conglomerate spanning music, media, film, broadcasting, talent management, and home shopping, observed a revenue rise from 5.3 billion baht in 2022 to 6 billion baht in 2023. However, the company reported a net loss of 132.6 million baht in 2023, contrasting with a net profit of 166.4 million baht in the prior year.
