Tencent Music Entertainment Group (TME)

Faruqi & Faruqi, LLP Encourages Investors Who Suffered Losses Exceeding $50,000 In Tencent Music Entertainment Group To Contact The Firm 

Faruqi & Faruqi, LLP, a leading national securities law firm, reminds investors in Tencent Music Entertainment Group (“Tencent Music” or the “Company”) (NYSE: TME) of the November 25, 2019 deadline to seek the role of lead plaintiff in a federal securities class action that has been filed against the Company. 

If you invested in Tencent Music stock or options between December 12, 2018 and August 26, 2019 and would like to discuss your legal rights, please fill out the form below. There is no cost or obligation to you. You can also contact us by calling Richard Gonnello toll free at 877-247-4292 or at 212-983-9330 or by sending an e-mail to rgonnello@faruqilaw.com.  

The lawsuit has been filed in the U.S. District Court for the Eastern District of New York on behalf of all those who purchased Tencent Music securities between December 12, 2018 and August 26, 2019, inclusive (the “Class Period”).  The case, Gordon v. Tencent Music Entertainment Group, 19-cv-05465, was filed on September 26, 2019.

The lawsuit focuses on whether the Company and its executives violated federal securities laws by failing to disclose that: (1) Tencent Music’s exclusive licensing arrangements with major record labels were anticompetitive; (2) consequently, sublicensing such content from Tencent Music was unreasonably expensive, in violation of Chinese antimonopoly laws; (3) these anticompetitive efforts were reasonably likely to lead to regulatory scrutiny; and (4) as a result, Defendants’ statements about its business, operations, and prospects, were materially false and misleading and/or lacked a reasonable basis at all relevant times.

On August 27, 2019, Bloomberg reported that China’s antitrust authority, the State Administration of Market Regulation, was investigating the exclusive licensing deals between Tencent Music and major record labels including Universal Music Group, Sony Music Entertainment, and Warner Music Group.

On this news, Tencent Music’s stock fell from $13.49 on August 26, 2019 to $12.57 on August 27, 2019—a $0.92 or a 6.82% drop.