Tencent Music Entertainment, one of the largest music streaming platforms in China, is planning an initial public offering in the US.

Parent company Tencent will spin off its music business, selling an undisclosed number of shares on a US stock exchange, according to a Tech Crunch report.

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While the details of the deal are minimal, reports have valued the music segment at US$30bn and suggest that the IPO could raise as much as US$1bn.

In a similar move, the US$500bn parent company spun off China Literature, its digital books segment, and listed on a Hong Kong exchange.

The Chinese entertainment giant was involved in an equity swap deal with fellow streaming service Spotify in December.

Shares of Tencent Holdings Limited was up nearly 2.5% on the Hong Kong Stock Exchange.