French entertainment and telecom conglomerate Vivendi said Tuesday that it has closed its sale of a 10 percent stake in Universal Music Group to a consortium led by Chinese online giant Tencent.
It confirmed the deal was based on an enterprise value of €30 billion, or $33 billion at current exchange rates, compared with $33.6 billion when the transaction was announced at the end of 2019. That values the sold stake in the music major, whose artist roster includes Billie Eilish, at $3.3 billion.
The consortium buying the stake is led by Tencent and includes Tencent Music Entertainment and "other financial co-investors," the companies said. Vivendi said it plans to use the proceeds from the transaction and possible further deals around UMG for "substantial" stock buybacks and acquisitions.