Tencent Holdings Ltd. is buying a 10% stake in the music giant behind Ariana Grande, Drake and Billie Eilish for €3 billion ($3.36 billion) in a deal that bolsters the Chinese internet giant’s growing presence in the record industry.

The company said Tuesday it was leading a consortium that has agreed to acquire a stake in Universal Music Group from Vivendi SA, valuing the world’s largest music company at €30 billion. The investment also gives Tencent the option to double its stake in the Los Angeles-based company.

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