(Bloomberg) -- Universal Music Group NV has set up a label division in the Greater Bay Area surrounding Hong Kong, giving the world’s largest music company a bigger foothold in China’s south.
With headquarters in Shenzhen, the new operation will focus on marketing and artist management by aiming to develop local artists across the region, the company said in a statement on Tuesday.
The record label, which represents singers and songwriters including Taylor Swift, has sought to accelerate growth in China, South Asia and Africa. It plans to do this by signing artists outside of established music markets and investing in local labels and catalogs.
China’s Greater Bay Area is an economic cluster that includes nine mainland cities, Hong Kong and Macau. It accounts for nearly a quarter of China’s music performance revenue, the company said.
Earlier this year, Universal Music struck a deal for the global digital distribution of Chinese firm TF Entertainment. The firm’s artists pool includes TFBoys, a teen group that has emerged as one of China’s most popular boy bands. It had also partnered with Chinese artist Jay Chou, known as the ‘King of Mandopop.’
The Hilversum, Netherlands-headquartered company last week unveiled targets for its revenue to increase more than 7% through 2028 backed by growth in subscription revenue and by accelerating superfan monetization.
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