Tencent Music Entertainment Group climbed in its U.S. trading debut Wednesday after pricing its initial public offering at the bottom of a marketed range. China\u2019s largest music-streaming service, which is backed by Tencent Holdings Ltd., and current holders raised $1.1 billion by selling 82 million American depositary shares at $13 apiece Tuesday. The shares were offered at $13 to $15 each. Tencent Music opted to price lower after initially guiding fund managers that orders were coming in around the midpoint of the marketed range. The shares closed up 7.7 percent to $14 in New York, valuing the company at about $22.9 billion - just below the market valuation of Spotify Technology SA, the Swedish peer that\u2019s also an investor in the Chinese company. Despite the early trading, its less-than-optimal IPO pricing doesn\u2019t bode well for mainland companies considering their own coming-out parties, and follows recent lackluster debuts by the likes of Mogu Inc. \u201cThe pricing is primarily due to weak general market sentiment,\u201d said Vey-Sern Ling, an analyst with Bloomberg Intelligence. \u201cThe secondary reason is market skepticism about music streaming platforms, due to the poor experience with Spotify, which is below its IPO price.\u201d Read more: Music Giant Backed by Pony Ma Is Poised to Spin New Billionaires The deal adds to the $8 billion raised in U.S. first-time share sales by Chinese companies this year, more than double the same period in 2017, data compiled by Bloomberg show. It\u2019s the biggest year for mainland firms since 2014, when Alibaba Group Holding Ltd. priced the world\u2019s largest IPO, the data show. In the coming year, major tech corporations from Uber Technologies Inc. to China\u2019s ByteDance Ltd. are said to be considering IPOs - both to raise capital and offer longstanding backers an exit. Tencent Music, an arm of China\u2019s largest social-media company, had been one of the year\u2019s most anticipated first-time share sales. Its growth in China mirrors inroads by Spotify in the U.S., where streaming has helped music sales grow at their fastest rate since the 1990s. The Chinese company however has a more diverse business. It focuses on three main experiences: Online music through products such as QQ Music that also help users discover tunes; online karaoke sites like WeSing, where people can sing virtually with friends, celebrities or strangers; and live-streamed performances. The company counted 872 million monthly active users, combining the music service and social entertainment platform, in the three months ended in June. Its net income more than tripled in the first nine months of the year to $394 million, while revenue almost doubled to about $2 billion, according to an exchange filing. Its platforms are becoming important vehicles for pop stars such as Katy Perry and Rihanna to reach a Chinese audience, alongside homegrown artists such as Jason Zhang and Joker Xue. Investors \u201cdo not understand fully that Tencent Music has a very different business model than Spotify, which allows it to make sustainable profits,\u201d Ling said. Major shareholders include Tencent, which owned roughly 59 percent before the offering. Spotify held about 8.9 percent, the filing shows. Morgan Stanley, Goldman Sachs Group Inc., JPMorgan Chase & Co., Deutsche Bank AG and Bank of America Corp. are among the underwriters of the offering. The shares are trading on the New York Stock Exchange under the symbol TME.