Document:

EX-10.31

 Exhibit 10.31 

Exclusive Option Agreement 

By and Among 
 All the
shareholders listed in Schedule A 
 and 

Tencent Music (Beijing) Co., Ltd. 

and 
 Guangzhou Kugou
Computer Technology Co., Ltd. 
 March 26, 2018 

 Exclusive Option Agreement 

This Exclusive Option Agreement (the “Agreement”) is entered into on March 26, 2018, by and among the following Parties: 

 

	1.	All the shareholders listed in Schedule A, of which the information see Schedule A. 

(All the shareholders listed in Schedule A separately and collectively referred to as the “Existing Shareholders”);

  

	2.	Tencent Music (Beijing) Co., Ltd. (the “WFOE”) 

 Registered address: Room 303,
3rd Floor of 101, -2nd to 8th Floor, No.7 Building, East Tianchen Road, Chaoyang District, Beijing. 
  

	3.	Guangzhou Kugou Computer Technology Co., Ltd.(the “Company”) 

 Registered
address: Room 1301, Building 2, No. 16, Keyun Road, Tianhe District, Guangzhou. 
 (In this Agreement, each Party shall be referred to as a
“Party” respectively or as the “Parties” collectively.) 
 Whereas: 

 

	(1)	Mr. Xie Guomin and Mr. Chen Xiaotao signed the Capital Subscription Agreement on November 20, 2013. 

  

	(2)	Mr. Xie Guomin, Mr. Chen Xiaotao and the WFOE signed the Loan Agreement on April 21, 2014 (the “Loan Agreement”). According to the Loan Agreement, the WFOE have had made a loan to
Mr. Xie Guomin, Mr. Chen Xiaotao with amount of RMB 128,800,000 to pay the increased capital above-mentioned in (1). 

  

	(3)	Mr. Chen Xiaotao, Mr. Qiu Zhongwei and the WFOE signed the Equity Transfer Agreement and Debt Assignment and Offset Agreement on March 20, 2017 respectively, according to which Mr. Chen Xiaotao
transferred the contribution in the Company to Mr. Qiu Zhongwei, and all parties agreed that the loan that the WFOE made to Mr. Chen Xiaotao as above-mentioned in (2), and the equity transfer price that Mr, Qiu Zhongwei should pay to
Mr. Chen Xiaotao shall be offset. Mr. Qiu Zhongwei shall inherit all rights and obligations of Mr. Chen Xiaotao in the Loan Agreement. 

  

	(4)	Linzhi Lichuang Information Technology Co., Ltd. signed a subscription agreement to subscribe the Company’s new registered capital on July 12, 2016. 

 

	(5)	The Existing Shareholders currently are registered shareholders of the Company, lawfully and legally holding all the equity of the Company. As of the date of this Agreement, the amount of contribution of each Existing
Shareholder in the registered capital is shown in Schedule A. 

  
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	(6)	The Existing Shareholders intends to transfer all the equity to the WFOE and/or any other entity or individual designated by the WFOE without prejudice to the PRC law, and the WFOE intends to accept such transfer.

  

	(7)	The Company intends to transfer its assets to the WFOE and/or any other entity or individual designated by the WFOE without prejudice to the PRC law, and the WFOE intends to accept such assets. 

 

	(8)	The Existing Shareholders and the Company agree to irrevocably grant the exclusive Equity Call Option and Assets Call Option to the WFOE in order to complete the equity and assets transfer mentioned above. Without
prejudice to the PRC law and according to the Equity Call Option and Assets Call Option, the Existing Shareholders or the Company shall transfer the Option Equity Interest and the Company Assets (defined as follows) to the WFOE and/or any other
entity or individual designated by the WFOE according to this Agreement at the request of the WFOE. 

  

	(9)	The Company agrees that the Existing Shareholders grant the Equity Call Option to the WFOE pursuant to this Agreement. 

  

	(10)	The Existing Shareholders agree that the Company grants Assets Call Option to the WFOE pursuant to this Agreement. 

Therefore, the Parties hereby agree as follows upon mutual negotiations: 

Article 1 Definition 
  

	1.1	Unless otherwise required in the context, the following terms in this Agreement shall have the following meanings: 

  

			
	“PRC Law”	  	means the then effective laws, administrative regulations, administrative rules, local regulations, judicial interpretations and other binding regulatory documents of the PRC (excluding Hong Kong Special Administrative Region, Macao
Special Administrative Region and Taiwan Region).
		
	“Equity Call Option”	  	means the option to purchase the equity interests in the Company granted by the Existing Shareholders to the WFOE pursuant to the terms and conditions of this Agreement.

  
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	“Assets Call Option”	  	means the option to purchase any assets of the Company granted by the Company to the WFOE pursuant to the terms and conditions of this Agreement.
		
	“Option Equity Interest”	  	means, in respect of each Existing Shareholder, the equity interest owned by him or her (including the additional equity interest obtained by him or her due to capital increase, share transfer or any other reasons) in the Registered
Capital (defined as follows) of the Company, and in respect of all the Existing Shareholders, the 100% equity interests in the Registered Capital of the Company.
		
	“Registered Capital of the Company”	  	means the registered capital of the Company as of the signing date of this Agreement, i.e., RMB26,068,822, and includes any increased registered capital within the term of this Agreement.
		
	“Transfer Equity Interests”	  	means the equity interests which the WFOE or its designated entity or individual is entitled to purchase from all Existing Shareholders or any Existing Shareholder at the request of the WFOE upon its exercise of the Equity Call
Option in accordance with Section 3 hereof, the amount of which may be all or part of the Option Equity Interest and shall be determined by the WFOE at its sole discretion in accordance with the then effective PRC Law and its commercial
needs.
		
	“Transfer Assets”	  	means the assets of the Company which the WFOE or its designated entity or individual is entitled to purchase from the Company at the request of the WFOE upon its exercise of the Assets Call Option in accordance with Section 3
hereof, the amount of which may be all or part of the assets of the Company and shall be determined by the WFOE at its sole discretion in accordance with the then effective PRC Law and its commercial needs.
		
	“Exercise”	  	means the exercise of the Equity Call Option or Assets Call Option by the WFOE.

  
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	“Transfer Price”	  	means the aggregate consideration payable to the Existing Shareholders or the Company by the WFOE or its designated entity or individual for the Transfer Equity Interests or the Transfer Assets in each Exercise.
		
	“Operating Licenses”	  	means any approvals, permits, filings or registrations which are necessary for the lawful and effective operation by the Company of all its businesses, including without limitation to the Business License, the Audio & Video
Service Permission, the Value-added Telecommunication Service Business License, and other relevant licenses and permits as required by the then effective PRC Law.
		
	“Company Assets”	  	means all the tangible and intangible assets which the Company owns or is entitled to use within the term of this Agreement, including without limitation to any fixed assets, moveable assets and intellectual property, including
trademarks, copyrights, patents, proprietary technology, domain names and software use rights, etc.
		
	“Material Agreement”	  	means any agreement to which the Company is a party and which has material impact on the businesses or the assets of the Company, including without limitation to the Exclusive Consulting and Services Agreement entered into by and
between the Company and the WFOE and other material agreements relating to the business of the Company.

  

	1.2	Any PRC Law referred to herein shall: 

  

	 	(1)	include the amendments, changes, supplements and reenactments thereto, irrespective of whether they take effect before or after the execution of this Agreement; and 

 

	 	(2)	include the references to other decisions, notices or regulations enacted in accordance therewith or which become effective as a result thereof. 

 

	1.3	Unless otherwise specified herein, all references to article, clause, item or paragraph shall refer to the relevant part hereof. 

  
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 Article 2 Grant of Equity Call Option and Assets Call Option 

 

	2.1.	The Existing Shareholders hereby severally and jointly agree to irrevocably and unconditionally grant an exclusive Equity Call Option to the WFOE, according to which the WFOE may, to the extent permitted under the PRC
Law and subject to the terms and conditions of this Agreement, request the Existing Shareholders to transfer the Option Equity Interest to the WFOE or its designated entity or individual. The WFOE agrees to accept such Equity Call Option.

  

	2.2.	The Company hereby agrees to the grant of the Equity Call Option to the WFOE by the Existing Shareholders under Section 2.1 and other provisions of this Agreement. 

 

	2.3.	The Company hereby agrees to irrevocably and unconditionally grant an exclusive Assets Call Option to the WFOE, according to which the WFOE may, to the extent permitted under the PRC Law and subject to the terms and
conditions of this Agreement, request the Company to transfer all or any of the Company Assets to the WFOE or its designated entity or individual. The WFOE agrees to accept such Assets Call Option. 

 

	2.4.	The Existing Shareholders hereby severally and jointly agree to the grant of the Assets Call Option to the WFOE by the Company under Section 2.3 and other provisions of this Agreement. 

Article 3 Manner of Exercise of Options 
  

	3.1.	Subject to the terms and conditions of this Agreement and to the extent permitted under the PRC Law, the WFOE shall have the sole discretion in deciding the schedule, manner and times of its Exercise. 

 

	3.2.	Subject to the terms and conditions of this Agreement and to the extent permitted by the then effective PRC Law, the WFOE is entitled to request the Existing Shareholders to transfer all or part of the equity interests
in the Company to the WFOE or its designated entity or individual at any time. 

  

	3.3.	Subject to the terms and conditions of this Agreement and to the extent permitted by the then effective PRC Law, the WFOE is entitled to request the Company to transfer all or part of its assets to the WFOE or its
designated entity or individual at any time. 

  

	3.4.	In respect of the Equity Call Option, the WFOE has discretion to determine the amount of the Transfer Equity Interests to be transferred to the WFOE and/or its designated entity or individual from the Existing
Shareholders in each Exercise, and the Existing Shareholders shall transfer the Transfer Equity Interests to the WFOE and/or its designated entity or individual respectively according to the amount as requested by the WFOE. The WFOE and/or its
designated entity or individual shall pay the Transfer Price to the Existing Shareholders for transfer of the Transfer Equity Interests in each Exercise. 

  
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	3.5.	In respect of the Assets Call Option, the WFOE has discretion to determine the specific Transfer Assets to be transferred to the WFOE and/or its designated entity or individual from the Company, and the Company shall
transfer the Transfer Assets to the WFOE and/or its designated entity or individual at the request of the WFOE. The WFOE and/or its designated entity or individual shall pay the Transfer Price to the Company for transfer of the Transfer Assets in
each Exercise. 

  

	3.6.	Upon each Exercise, the WFOE may request transfer of all or any part of the Transfer Equity Interests or the Transfer Assets to itself or any third party designated by it. 

 

	3.7.	Upon its decision of each Exercise, the WFOE shall issue a notice to the Existing Shareholders or the Company, as case may be, on the exercise of the Equity Call Option or the Assets Call Option (the “Exercise
Notice”, the form of which is attached in Schedule B and Schedule C hereto). The Existing Shareholders or the Company shall, upon receipt of the Exercise Notice, promptly transfer all the Transfer Equity Interests or the
Transfer Assets to the WFOE and/or its designated entity or individual according to the Exercise Notice and in such manner as provided under Section 3.4 or Section 3.5 of this Agreement. 

Article 4 Transfer Price 
  

	4.1	In respect of the Equity Call Option, in each Exercise, the Transfer Price that WFOE or its designated entity or individual shall pay to the respective Existing Shareholders shall be the amount in proportion to their
respective contributions to the Registered Capital of the Company. For the avoidance of doubt, WFOE may, in accordance with Article 4.3 of the Loan Agreement, pay to Mr. Xie Guomin and/or Mr. Shi Lixue the transfer price. Under this
circumstance, without prejudice to the applicable law, WFOE shall purchase or designate a third party to purchase the equity held by the respective Existing Shareholders at the transfer price equal to the required repayment amount. The proportion of
the equity purchased by WFOE accounting for the equity then held by the respective Existing Shareholders shall be the same as the proportion of the required repayment amount accounting for the total outstanding amount of the respective Existing
Shareholders under the Loan Agreement. 

  
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	4.2	In respect of the Assets Call Option, in each Exercise, WFOE or its designated entity or individual shall pay the Company the net book value of the relevant assets. Under this circumstance, without prejudice to the
applicable law, all the purchase price obtained by the Company shall be used as the directional dividends paid to Mr. Xie Guomin and Mr. Shi Lixue. Then Mr. Xie Guomin and Mr. Shi Lixue shall use all these dividends to repay the
loan under the Loan Agreement. The proportion of the purchased assets accounting for the total assets of the Company shall be the same as the proportion of the required repayment amount accounting for the total outstanding amount of the respective
Existing Shareholders under the Loan Agreement. 

  

	4.3	If relevant PRC Law then applicable to the WFOE’s Exercise of Equity Call Option or Assets Call Option requires to make assess evaluation of the equity or assets to be transferred or makes restrictions on the
transfer price of the equity or assets to be transferred, WFOE, the Existing Shareholders and the Company agree that the transfer price shall be the lowest price permitted by the PRC Law. If the lowest price permitted by the PRC Law is higher than
the corresponding capital contribution of the transfer equity and/or the net book value of the purchased assets, the Existing Shareholders and/or the Company shall pay all the remaining of the excess amount to WFOE after deducting all the taxes and
fees required by the applicable PRC Law. 

 Article 5 Representations and Warranties 

 

	5.1.	The Existing Shareholders hereby severally and not jointly represent and warrant as follows, except for the disclosure of Schedule A: 

 

	 	5.1.1	If the Existing Shareholder is a natural person, he/she is a PRC citizen with full capacity, having full and independent legal status and legal capacity to execute, deliver and perform this Agreement, and may act as an
independent legal subject of litigation. If the Existing Shareholder is not a natural person, it is a legal entity validly established and lawfully existing under the laws of the PRC, having full and independent legal status and legal capacity to
execute, deliver and perform this Agreement, and may act as an independent legal subject of litigation. 

  

	 	5.1.2	Each of the Existing Shareholders has full power and authority to execute, deliver and perform this Agreement and all the other documents to be entered into by them which are related to the transaction contemplated
hereunder, as well as to consummate the transaction hereunder. 

  

	 	5.1.3	This Agreement is duly and lawfully executed and delivered by the Existing Shareholders and shall constitute legal, valid and binding obligations to them, which shall be enforceable against them in accordance with the
terms herein. 

  
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	 	5.1.4	The Existing Shareholders are the registered legal owners of the Option Equity Interest as of the date hereof, and the Option Equity Interest is free and clear of any liens, pledges, claims, other encumbrances or third
party interests, except for the pledge rights created by the Equity Interest Pledge Agreements dated March 26, 2018, and the proxy rights created by the Voting Trust Agreement dated July 12, 2016, among the Company, the WFOE and the
respective Existing Shareholders. Pursuant to this Agreement, the WFOE and/or its designated entity or individual can, upon the Exercise, obtain ownership of the Transfer Equity Interests free and clear of any liens, pledges, claims, other
encumbrances or third party right. 

  

	5.2.	The Company hereby represents and warrants as follows: 

  

	 	5.2.1	The Company is a limited liability company duly registered and validly existing under PRC Law with an independent corporate legal person status. The Company has full and independent legal status and legal capacity to
execute, deliver and perform this Agreement and can act as an independent party in any lawsuits. 

  

	 	5.2.2	The Company has full power and authority to execute, deliver and perform this Agreement and all other documents relating to the transaction contemplated herein which are to be executed by it, and it has full power and
authority to consummate the transaction contemplated herein. 

  

	 	5.2.3	This Agreement is duly and lawfully executed and delivered by the Company and shall constitute legal, valid and binding obligations to it. 

 

	 	5.2.4	The Company Assets are free and clear of any liens, mortgages, claims, other encumbrances or third party rights. Pursuant to this Agreement, upon the Exercise, the WFOE and/or any of its designated entity or individual
is/are entitled to the good ownership of the Company Assets free from any liens, mortgages, claims, any other security interests and third party rights. 

  

	 	5.2.5	The Existing Shareholders are the registered legal owners of the Option Equity Interest as of the date hereof, aggregately holding 100% equity of the Company. The Option Equity Interest is free and clear of any liens,
pledges, claims, other encumbrances or third party interests, except for the pledge rights created by the Equity Interest Pledge Agreements dated July 12, 2016, and the proxy rights created by the Voting Trust Agreement dated July 12,
2016, among the Company, the WFOE and the respective Existing Shareholders. Pursuant to this Agreement, the WFOE and/or its designated entity or individual can, upon the Exercise, obtain ownership of the Transfer Equity Interests free and clear of
any liens, pledges, claims, other encumbrances or third party right. 

  
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	5.3.	The WFOE hereby represents and warrants as follows: 

  

	 	5.3.1	It is a wholly foreign-owned enterprise duly incorporated and validly existing under PRC Law with an independent legal person status, and has full and independent legal status and legal capacity to execute, deliver and
perform this Agreement and can act as an independent party in any lawsuits. 

  

	 	5.3.2	It has full power and authority to execute, deliver and perform this Agreement and all other documents relating to the transaction contemplated herein which are to be executed to it, and it has full power and authority
to consummate the transaction contemplated herein. 

  

	 	5.3.3	This Agreement is duly and lawfully executed and delivered by WFOE and shall constitute legal, valid and binding obligations to it. 

Article 6 Undertakings by the Existing Shareholders 

Each of Existing Shareholders hereby severally and not jointly undertakes as follows: 

 

	6.1	During the term of this Agreement, without prior written consent of the WFOE, each of Existing Shareholders: 

  

	 	6.1.1	Shall not transfer or otherwise dispose of any Option Equity Interest or create any encumbrances or third party interests upon any Option Equity Interest. 

 

	 	6.1.2	Shall not increase or reduce the Registered Capital of the Company, or cause or agree to the merger of the Company with any other entities; 

 

	 	6.1.3	Shall not dispose of, or procure the management of the Company to dispose of, any material Company Assets or create any encumbrances or third party interests upon any Company Assets; 

 

	 	6.1.4	Shall not, and shall procure the management of the Company not to, terminate any Material Agreement to which the Company is a party, or enter into any other agreements which are in conflict with the existing Material
Agreements; 

  
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	 	6.1.5	Shall not appoint or dismiss any director, supervisor or any other management of the Company whom shall be appointed or dismissed by the Existing Shareholders; 

 

	 	6.1.6	Shall not procure the Company to declare or distribute any distributable profits, dividends or other distributions; 

  

	 	6.1.7	Shall not vote in favor of the Company’s termination, liquidation or dissolution; 

  

	 	6.1.8	Shall not vote in favor of amending the association of the Company. 

  

	 	6.1.9	Shall not vote in favor of the Company to lend or borrow any loan, or provide guarantee or other forms of security arrangements, or assume any material obligations except for those occur during the ordinary course of
business. 

  

	6.2	During the term of this Agreement, each of the Existing Shareholders shall not engage in any actions or omissions which may affect the validity of the Operating Licenses. 

 

	6.3	Upon issuance of the Exercise Notice by the WFOE, each of Existing Shareholders: 

  

	 	6.3.1	Shall immediately convene shareholders’ meeting to adopt a resolution and take any other necessary actions, to approve the transfer of all of the Transfer Equity Interests or Transfer Assets at the Transfer Price
by the Existing Shareholders or the Company to the WFOE and/or its designated entity or individual, as well as waive his or her right of first refusal, if any; 

  

	 	6.3.2	Shall transfer all of the Transfer Equity Interests at the Transfer Price under the Article 4 to the WFOE and/or its designated entity or individual by entering into an equity transfer agreement with the WFOE and/or its
designated entity or individual immediately, and at the request of the WFOE and subject to relevant laws and regulations, provide necessary support to the WFOE (including provide and execute all relevant legal documents, process all procedure for
governmental approvals and registrations and assume all relevant obligations) for acquisition of all the Transfer Equity Interests by the WFOE and/or its designated entity or individual, free and clear of any legal defects, any encumbrances, third
party interests, or any other restrictions on the Transfer Equity Interests. 

  
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	6.4	If the aggregated Transfer Price received by any of the Existing Shareholders from transfer of his or her Transfer Equity Interests exceeds his or her contribution to the Registered Capital of the Company, or such
Existing Shareholder receives any profits, dividends or other distributions distributed by the Company, such Existing Shareholder agrees to waive the excessive portion of the Transfer Price and any such profits, dividends or distributions (with tax
and fees being deducted) to the extent permitted by PRC Law, and the WFOE is entitled to such excessive portion of the Transfer Price and such profits, dividends or distributions. The Existing Shareholders shall instruct relevant transferee or the
Company to wire the above gains to a bank account designated by the WFOE. 

 Article 7 Undertakings by the Company 

 

	7.1	The Company undertakes as follows: 

  

	 	7.1.1	In the event the execution and performance of this Agreement and the grant of the Equity Call Option or the Assets Call Option hereunder is subject to any third party’s consents, approvals, waivers, licenses, or
any approvals, permits, waivers, registrations or filings from or with governmental authorities (as required by the laws), the Company shall make efforts to assist in the above procedure. 

 

	 	7.1.2	Without prior written consent of the WFOE, the Company shall not assist or permit the Existing Shareholders to transfer or dispose of any Option Equity Interest or create any encumbrances or other third party interest
upon the Option Equity Interest. 

  

	 	7.1.3	Without prior written consent of the WFOE, the Company shall not transfer or otherwise dispose of any material Company Assets or create any encumbrances or other third party interest upon any Company Assets.

  

	 	7.1.4	It shall not take or allow any acts or actions which could have adverse effect upon the interests of the WFOE under this Agreement, including without limitation to any acts or actions as restricted under
Section 6.1 hereof. 

  

	7.2	The Company undertakes that upon issuance of the Exercise Notice by the WFOE: 

  

	 	7.2.1	It shall immediately procure the Existing Shareholders to convene shareholders’ meeting to adopt a resolution and take any other necessary actions, to approve the transfer of all of the Transfer Assets at the
Transfer Price by the Company to the WFOE and/or its designated entity or individual; 

  
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	 	7.2.2	It shall transfer all of the Transfer Assets at the Transfer Price to the WFOE and/or its designated entity or individual by entering into an assets transfer agreement with the WFOE and/or its designated entity or
individual immediately, and at the request of the WFOE and subject to relevant laws and regulations, procure the Existing Shareholders to provide necessary support to the WFOE (including provide and execute all relevant legal documents, process all
procedure for governmental approvals and registrations and assume all relevant obligations) for acquisition of all the Transfer Assets by the WFOE and/or its designated entity or individual, free and clear of any legal defects, any encumbrances,
third party interests, or any other restrictions on the Company Assets. 

 Article 8 Confidentiality 

 

	8.1	Notwithstanding the termination of this Agreement, each Party shall keep confidential all of the business secrets, proprietary information, customer information as well as any other information of confidential nature it
receives from the other Parties in connection with the execution and performance of this Agreement (collectively referred to as the “Confidential Information”). Without prior written consent of the disclosing party of the
Confidential Information or unless required by relevant laws and regulations or requirements of the stock exchange on which a Party’s affiliate is listed, any Party receiving the Confidential Information shall not disclose any such Confidential
Information to any other third party, or use any such Confidential Information directly or indirectly for any purpose other than for the performance of this Agreement. 

 

	8.2	The following information shall not constitute the Confidential Information: 

  

	 	(a)	Any information which, as shown by written evidence, has previously been known to the receiving Party by way of legal means; 

  

	 	(b)	Any information which enters the public domain other than as a result of a fault of the receiving Party; or 

  

	 	(c)	Any information lawfully acquired by the receiving Party from another source subsequent to the receipt of relevant information. 

  

	8.3	The receiving party may disclose Confidential Information to its relevant employees, agents or professionals engaged by it, provided that such receiving party shall ensure that the aforesaid persons are subject to the
terms and conditions of this Agreement and the receiving party shall be liable for any liabilities arising from breach of the terms and conditions hereof by the aforesaid persons. 

  
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	8.4	Notwithstanding any other provisions herein, the validity of this Section 8 shall survive the termination of this Agreement. 

Article 9 Term of This Agreement 
 This
Agreement shall become effective as of the date of the execution by the Parties. This Agreement is the final agreement reached between the Parties on the exclusive option and relevant issues which shall supersedes any and all prior consultations,
negotiations or discussions, representations, memorandum, agreements or other documents (including without limitation the Exclusive Option Agreement executed by and among the Company, the WFOE and the existing shareholders (excluding Qiu Zhongwei
and Dong Jianming) on July 12, 2016). In case of any conflict, contradiction or inconsistency, this Agreement shall prevail. This Agreement shall remain valid until all of the Option Equity Interest and the Company Assets have been lawfully
transferred to the WFOE and/or its designated entity or individual in accordance with the provisions hereof. 
 Article 10 Notice 

 

	10.1	Any notice, request, demand and other correspondences as required by or made in accordance with this Agreement shall be delivered to the relevant Party in writing. 

 

	10.2	The above notice or other correspondences shall be deemed to have been delivered upon delivery when it is transmitted by facsimile or telex, or upon handed over to the receiver when it is delivered in person, or on the
fifth (5) day after posting when it is delivered by mail, or on the date of receipt by the recipient if by express delivery. However, if the notice is returned due to the fault of the served party or the refusal of the served party to sign for
it, the date on which the notice is returned shall be deemed as service. In case of simultaneous delivery in any of the above forms, the earliest deemed time of delivery shall prevail. 

Article 11 Default Liabilities 
  

	11.1	The Parties agree and acknowledge that if any Party (the “Defaulting Party”) breaches any provision hereunder, or fails to perform or delays in performing any obligations hereunder, such breach, failure
or delay shall constitute a default hereunder (the “Default”) and that in such event, the non-defaulting Party/Parties (the “Non-Defaulting Party”) shall have the right to demand the Defaulting Party to cure such
Default or take remedial measures within a reasonable time. If the Defaulting Party fails to cure such Default or take remedial measures with such reasonable time or within ten (10) days of the Non-Defaulting Party notifying the Defaulting
Party in writing and requesting it to cure such Default, the Non-Defaulting Party may elect, in its (their) discretion, to do the following: 

  

	 	11.1.1	if the Defaulting Party is any of Each of Shareholders or the Company, the WFOE shall have the right to terminate this Agreement and claim the Defaulting Party to indemnify the damages. For the avoidance of doubt, the
responsibility of shareholders or the responsibility between the shareholders and the Company is independent, and the shareholders do not bear any joint liability for any obligation or responsibility of the other existing shareholders or Company;

  
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	 	11.1.2	if the Defaulting Party is the WFOE, the Non-defaulting Party has right to claim the Defaulting Party to indemnify the damages, provided that in no event shall the Non-defaulting Party have the right to terminate or
rescind this Agreement, except that the contrary is provided by the law. 

  

	11.2	Notwithstanding any other provisions herein, the effectiveness of this Article shall survive the suspension or termination of this Agreement. 

Article 12 Miscellaneous Provisions 
  

	12.1	This Agreement is made in Chinese in fifteen (15) originals with each Party retaining one (1) copy hereof. 

  

	12.2	The execution, effectiveness, performance, amendment, interpretation and termination of this Agreement shall be governed by PRC laws. 

 

	12.3	Dispute Resolutions 

  

	 	(a)	Any dispute arising out of or in relation to this Agreement, the Parties shall first resolve the dispute through friendly negotiation. The requesting party shall notify the other party of the dispute and explain the
nature of the dispute by overloading the date notice. If the Parties fail to reach an agreement regarding such a dispute within thirty (30) days of its occurrence, any Party is entitled to submit such dispute to the China International Economic
and Trade Arbitration Commission (the “CIETAC”) for arbitration in Beijing in accordance with the then effective arbitration rules thereof and the arbitration award shall be final and binding. 

  
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	 	(b)	The arbitration tribunal shall consist of three (3) arbitrators, of whom the two parties have the right to appoint one (1) each. The third arbitrator (3rd) should be appointed jointly by the two sides. If
the party shall not be able to reach an agreement on the joint designation of the third arbitrator, he/she should be appointed by the director of the Arbitration Committee. The third arbitrator shall be the chief arbitrator of the arbitration
tribunal. 

  

	 	(c)	In making an arbitration award, the arbitrator shall take into account the intention of the Parties which may be determined in accordance with this Agreement. 

 

	 	(d)	The arbitration award made according to the Article12.3 in writing should be final and binding. The parties shall do their utmost to ensure that any such arbitration award is duly executed and to provide any necessary
assistance thereto. 

  

	 	(e)	The aforesaid provisions of the Article 12.3 shall not prevent the party concerned from applying for any pre suit protection or prohibition remedy available for any reason, including but not limited to the enforcement
of subsequent enforcement of the arbitration tribunal. 

  

	12.4	Any rights, powers and remedies entitled to any Party by any provision herein shall not preclude any other rights, powers and remedies entitled to such Party in accordance with laws and other provisions under this
Agreement, and a Party’s exercise of any of its rights, powers and remedies shall not preclude its exercise of other rights, powers and remedies. 

  

	12.5	No failure or delay by a Party to exercise any of its rights, powers and remedies hereunder or in accordance with laws (the “Rights”) shall be construed as a waiver of such Rights, and the waiver of any
single or partial exercise of the Rights shall not preclude its exercise of such Rights in any other way or its exercise of other Rights. 

  

	12.6	The headings of the sections herein are for reference only, and in no circumstances shall such headings be used in or affect the interpretation of the provisions hereof. 

 

	12.7	Each provision contained herein shall be severable and independent from other provisions. If at any time one or several provisions herein shall be held to be invalid, illegal or unenforceable, the validity, legality or
enforceability of other provisions herein shall not be affected thereby. 

  

	12.8	This Agreement, upon its execution, supersedes any other legal documents executed by the Parties with respect to the same subject hereof. Any amendments or supplements to this Agreement shall be in writing and shall
become effective upon duly execution by the Parties hereto. 

  
 15 

	12.9	No Party shall assign any of its rights and/or obligations hereunder to any third parties without prior written consent from other Parties. 

 

	12.10	This Agreement shall be binding on the legal transferees or successors of the Parties. 

[The remainder of this page is intentionally left blank] 

  
 16 

 IN WITNESS WHEREOF, the Parties hereto have executed this Agreement as of the date first above written. 

 

	
	Xie Zhenyu
	Signature: /s/ Xie Zhenyu
	
	Hu Huan
	Signature: /s/ Hu Huan
	
	Xu Hanjie
	Signature: /s/ Xu Hanjie
	
	 Hangzhou Yong Xuan Yong Ming Capital Investment Partnership (Limited Partnership) 

/s/ Seal of Hangzhou Yong Xuan Yong Ming Capital Investment Partnership (Limited Partnership)

	
	Kashi Tianshan Red Sea Venture Capital Co., Ltd.
	/s/ Seal of Kashi Tianshan Red Sea Venture Capital Co., Ltd.
	
	Shenzhen Litong Industry Investment Fund Co., Ltd.
	/s/ Seal of Shenzhen Litong Industry Investment Fund Co., Ltd.
	
	Dong Jianming
	Signature: /s/ Dong Jianming 
	
	Gao Yaping
	Signature: /s/ Gao Yaping 
	
	Xie Guomin
	Signature: /s/ Xie Guomin
	
	Qiu Zhongwei
	Signature: /s/ Qiu Zhongwei 
	
	Tang Liang
	Signature: /s/ Tang Liang 

 
	
	Linzhi Lichuang Information Technology Co., Ltd.
	/s/ Seal of Linzhi Lichuang Information Technology Co., Ltd.
	
	Tencent Music (Beijing) Co., Ltd.
	/s/ Seal of Tencent Music (Beijing) Co., Ltd.
	
	Guangzhou Kugou Computer Technology Co., Ltd.
	/s/ Seal of Guangzhou Kugou Computer Technology Co., Ltd.

 Schedule A 

Basic information of the Company 
  

					
	Company Name:	  	Guangzhou Kugou Computer Technology Co., Ltd.	  	
			
	Registered Address:	  	Room 1301, Building 2, No. 16, Keyun Road, Tianhe District, Guangzhou.	  	
			
	Registered Capital:	  	RMB 68,000,892 Yuan	  	
			
	Legal Representative:	  	Hu Min	  	
		
	Shareholding Structure:	  	

  

													
	 #
	  	 Shareholder’s

Name
	  	Identification No./
Registration No.	 	Registered
Capital	 	  	Shareholding
Percentage	 
	1	  	 Xie Zhenyu
	  	[            ]	 	 	4,480,350	 	  	 	6.59	% 
	2	  	 Hu Huan
	  	[            ]	 	 	800,000	 	  	 	1.18	% 
	3	  	 Xu Hanjie
	  	[            ]	 	 	375,000	 	  	 	0.55	% 
	4	  	 Hangzhou Yong Xuan Yong Ming Capital Investment Partnership (Limited Partnership)
	  	330100000160272	 	 	500,000	 	  	 	0.74	% 
	5	  	 Kashi Tianshan Red Sea Venture Capital Co., Ltd.
	  	653100051033463	 	 	2,000,000	 	  	 	2.94	% 
	6	  	 Shenzhen Litong Industry Investment Fund Co., Ltd.
	  	440301107721051	 	 	4,603,261	 	  	 	6.77	% 
	7	  	 Dong Jianming
	  	[            ]	 	 	1,004,950	 	  	 	1.48	% 
	8	  	 Gao Yaping
	  	[            ]	 	 	750,000	 	  	 	1.10	% 
	9	  	 Guangzhou Lekong Investment Partnership (Limited Partnership)
	  	440101000189740	 	 	735,880	 	  	 	1.08	% 
	10	  	 Xie Guomin
	  	[            ]	 	 	6,792,571	 	  	 	9.99	% 
	11	  	 Qiu Zhongwei
	  	[            ]	 	 	6,792,571	 	  	 	9.99	% 
	12	  	 Tang Liang
	  	[            ]	 	 	1,853,820	 	  	 	2.73	% 
	13	  	 Linzhi Lichuang Information Technology Co., Ltd.
	  	91540400MA6T10ME4F	 	 	37,312,489	 	  	 	54.87	% 
		  		  	  
	 	  
	  
	 	  	  
	  
	 
	 Total
	  	—  	 	 	68,000,892	 	  	 	100.0	% 
		  		  	  
	 	  
	  
	 	  	  
	  
	 

 Note: The equity transferred from Qihoo 360 software (Beijing) Co., Ltd.t to Dong Jianming still require approval
and registration with the governmental authority (including without limitation the review and approval from State Administration of Radio and Television and change registration with industrial and commercial authorities). 

 Schedule B 

Form of the Exercise Notice 
 To:
[name of Each of Shareholders] 
 In view of the Exclusive Option Agreement dated as of
[            ] (the “Option Agreement”) entered into by and among the undersigned, the Company and [name of Each of Shareholders], pursuant to which you shall, upon request
by us and to the extent permitted by the PRC laws and regulations, transfer the assets of the Company to us or any third party designated by us. 

Therefore, we hereby issue this notice to you as follows: 
 We
hereby request the exercise of the Assets Call Option under the Option Agreement and that the equity you have in the Company (the “Proposed Transferred Assets”) be transferred to us/ [name of company/individual] designated by us.
You are required to promptly transfer all the Proposed Transferred Assets to us/ [name of the designated company/individual] upon receipt of this notice in accordance with the terms of the Option Agreement. 

Yours faithfully, 
  

	
	Tencent Music (Beijing) Co., Ltd.
	(Company seal)
	
	Authorized Representative:
	Date:

 Schedule C 

Form of the Exercise Notice 
 To:
Guangzhou Kugou Computer Technology Co., Ltd. 
 In view of the Exclusive Option Agreement dated as of
[            ] (the “Option Agreement”) entered into by and among the undersigned, your company and all the shareholders of your company at that time, pursuant to which the
Company shall, upon request by us and to the extent permitted by the PRC laws and regulations, transfer the assets of the Company to us or any third party designated by us. 

Therefore, we hereby issue this notice to your company as follows: 

We hereby request the exercise of the Assets Call Option under the Option Agreement and that the assets of the Company as list in the schedule attached hereto
(the “Proposed Transferred Assets”) be transferred to us/ [name of company/individual] designated by us. You are required to promptly transfer all the Proposed Transferred Assets to us/ [name of the designated company/individual]
upon receipt of this notice in accordance with the terms of the Option Agreement. 
 Yours faithfully, 

 

	
	Tencent Music (Beijing) Co., Ltd.
	(Company seal)
	
	Authorized Representative:
	Date:EX-10.32

 Exhibit 10.32 

Exclusive Technical Service Agreement 

Between 
 Guangzhou
Kugou Computer Technology Co., Ltd. 
 And 

Tencent Music (Beijing) Co., Ltd. 

March 26, 2018 

 EXCLUSIVE TECHNICAL SERVICE AGREEMENT 

This Exclusive Technical Service Agreement (this “Agreement”) is entered into on March 26, 2018 by and between: 

 

	1.	Guangzhou Kugou Computer Technology Co., Ltd. (“Party A”) 

 Registered Address:
1-17, No. 315 Mid Huangpu Avenue, Tianhe District, Guangzhou 
 Legal Representative: Hu Min 

 

	2.	Tencent Music (Beijing) Co., Ltd. (“Party B”) 

 Registered Address: Room 303,
3rd Floor of 101, -2nd to 8th Floor, No.7 Building, East Tianchen Road, Chaoyang District, Beijing 
 Legal Representative: Hu Min 

(In this Agreement, each of Party A and Party B shall be hereinafter referred to as a “Party” respectively, and as the
“Parties” collectively.) 
 WITNESSETH 

Whereas, Party A is a limited liability company registered and lawfully existing in Guangzhou, PRC, which is mainly engaged in activities
about downloading and playing online music. 
 Whereas, Party B is a wholly foreign-owned enterprise registered and lawfully existing in
Beijing, the PRC, which is mainly engaged in developing software technology, promoting technology, technology services, technology consultation, technology training, selling self-produced software products; copyright agency (for those projects to be
approved pursuant to the laws, business activities shall be carried out according to the content of the approval by relevant departments); 

Whereas, Party A needs Party B to provide it with technical services relating to Party A Business (as defined below), and Party B agrees to
provide such services to Party A. 
 Through mutual discussion, the Parties have reached the following agreements: 

 

	1	Definitions 

  

	 	1.1	Unless otherwise indicated herein or otherwise required by the context, the following terms shall have the following meanings in this Agreement: 

 

			
	 Party A
 Business
	  	means all of the business activities operated and developed by Party A now and at any time during the term hereof.

  
 1 

			
		
	Services	  	 means the services to be provided by Party B within its business scope on an exclusive basis to Party A in relation to Party A Business,
including without limitation the followings:
  

(1)   allowing Party A to use relevant software legally owned by Party B and necessary for Party A
Business;
  

(2)   designation, installation, routine management, maintenance and updating of computer network
system, hardware devices and databases;
  

(3)   development, maintenance and updating of relevant application software necessary for Party A
business;
  
 (4)   technical
supporting and professional training to the personnel of Party A;
  

(5)   assisting Party A with the collection and analyzing relevant technical information of website
operation, including errors and defect information, in order to improve the technology service under this Agreement
  

(6)   website designation service, and providing comprehensive security service to Party A’s
websites; and
  
 (7)   other
relevant services provided from time to time at Party A’s request.

		
	Annual Business Plan	  	means the Party A Business development plan and budget report for the next calendar year to be prepared by Party A in accordance with this Agreement by November 30 of each year with the assistance of Party B.
		
	Service Fees	  	means all of the fees payable by Party A to Party B under Article 3 hereof in respect of the services provided by Party B.
		
	Devices	  	means any and all devices owned or purchased from time to time by Party B and utilized for the purposes of the provision of the Services.
		
	Business-Related Technology	  	means any and all software and technologies developed by Party A on the basis of the Services provided by Party B hereunder in relation to Party A Business.

  
 2 

	 	1.2	In this Agreement, any reference to any laws and regulations (“Law”) shall be deemed to include: 

  

	 	(1)	a reference to such Laws as modified, amended, supplemented or reenacted, effective (before or after the date of this Agreement; and 

 

	 	(2)	a reference to any other decision, circular or rule made pursuant to such Laws or effective as a result of such Laws. 

  

	 	1.3	Unless otherwise stated in the context of this Agreement, a reference to a provision, clause, section or paragraph shall refer to a corresponding provision, clause, section or paragraph of this Agreement.

  

	2	Services 

  

	 	2.1	During the term hereof, Party B shall, in accordance with the requirements of Party A Business, diligently provide the Services to Party A. 

 

	 	2.2	Party B shall be equipped with all Devices and personnel reasonably necessary for the provision of the Services and shall, in accordance with Party A’s Annual Business Plan and Party A’s reasonable requests,
procure and purchase new Devices and add new personnel so as to meet the requirement of providing quality Services to Party A in accordance with this Agreement. 

  

	 	2.3	For the purpose of the provision of the Services hereunder, Party B shall communicate with and exchange all kinds of information pertaining to Party A Business with Party A. 

 

	 	2.4	Notwithstanding any other provisions hereof, Party B shall have the right to designate any third party to provide any or all of the Services hereunder or fulfill, in lieu of Party B, Party B’s obligations
hereunder. Party A hereby agrees that Party B has the right to assign to any third party its rights and interests hereunder. 

  

	3	Service Fees 

  

	 	3.1	In connection with the Services provided by Party B hereunder, Party A agrees to pay Services Fees to Party B in the following manners: 

 

	 	3.1.1	performance service fees with the amount equivalent to 90% of the balance that Party A’s annual business income is deducted by the business cost agreed by both Parties; and 

  
 3 

	 	3.1.2	Service Fees as may be separately agreed by the Parties for any special technology services provided from time to time by Party B at Party A’s request. 

 

	 	3.2	Party B may require Party A to compensate for the depreciation of the equipment actually used by Party B. 

  

	 	3.3	Both Parties agree to pay the Service Fees as prescribed as the followings: 

  

	 	3.3.1	Party A shall pay the performance service fee to Party B per annum. After the end of each fiscal year of Party A, Party A and Party B shall determine the Total Pre-tax Profits based on the audit report issued by a PRC
registered accounting firm acknowledged by both Parties, calculating the actual performance fees payable by Party A. Party A shall pay the corresponding performance fees to Party B within fifteen (15) working days after the issuance of the
audit report. Party A undertakes to Party B that it will provide all the necessary materials and assistance to the aforesaid accounting firm and cause it to complete and issue to both Parties the audit report for the previous year within thirty
(30) working days after the completion of each calendar year. 

  

	 	3.3.2	The payment method of the Services Fees stipulated in Paragraph 3.1.2 hereof shall be determined separately by both Parties. 

  

	 	3.4	In accordance with this Article 3, Party A shall pay all Service Fees into a bank account designated by Party B in a timely manner. If Party B changes its bank account, it shall give Party A a written notice seven
(7) business days in advance. 

  

	 	3.5	The Parties agree that the payment of such Service Fees shall not, in principle, cause any difficulty for any Party’s operation in that year. For this purpose and to the extent to which the principle is achieved,
Party B may agree with Party A’s delayed payment of the Service Fees, or Party B, at its sole discretion, shall have the right to adjust the calculation rate and amount of performance service fees through written notice to Party A, without
Party A’s consent. 

  

	 	3.6	The Service Fees payable by Party A to Party B pursuant to Paragraph 3.1.2 shall be separately determined in accordance with the nature and workload by the Parties. 

  
 4 

	4	Party A’s Obligations 

  

	 	4.1	The Services provided by Party B under this Agreement shall be exclusive. During the term of this Agreement, without prior written consent of Party B, Party A shall not enter into any agreement or other arrangement with
any other third party to engage such third party for providing Party A with services identical or similar to the Services provided by Party B under this Agreement. 

 

	 	4.2	Party A shall, before November 30 of each year, provide to Party B its determined Annual Business Plan for the next year so that Party B can arrange the corresponding services plan and procure the required
software, Devices, personnel and technical service resources. If Party A requires Party B to procure Devices or personnel on an ad hoc basis, it shall consult with Party B fifteen (15) days in advance so as to reach mutual agreement.

  

	 	4.3	In order to facilitate Party B’s provision of the Services, Party A shall, at Party B’s request, accurately and timely provide to Party B such relevant materials as required by Party B. 

 

	 	4.4	Party A shall in accordance with Section 3 of this Agreement pay the full amount of the Service Fees in a timely manner to Party B. 

 

	 	4.5	Party A shall maintain its goodwill, actively expand its business and seek the maximization of its profits 

  

	 	4.6	During the term of this Agreement, Party A agrees to cooperate with Party B and its parent companies (including direct or indirect parent companies) to conduct related party transaction audit and other types of audits,
to provide Party B, its parent companies or its designated auditors with relevant information and materials in relation to Party A’s operation, business, clients, finance, employees, etc., and to approve Party B’s parent companies to
disclose such information and materials in order to meet the supervisory requirement of its securities listing place. 

  

	5	Intellectual Properties 

  

	 	5.1	All of the intellectual properties, which are either originally owned by Party B or acquired by it during the term hereof, including the intellectual property to and in the work results created during its provision of
the Services, shall belong to Party B. 

  
 5 

	 	5.2	Considering that the conduct of Party A Business is dependent upon the Services provided by Party B hereunder, Party A agrees to the following arrangement with respect to the Business-Related Technology developed on the
basis of such Services: 

  

	 	(1)	If the Business-Related Technology is developed and derived by Party A under Party B’s entrustment or is derived by Party A through joint development with Party B, then such Business-Related Technology and relevant
patent application right shall be owned by Party B. 

  

	 	(2)	If the Business-Related Technology is derived by Party A through further independent development, then it shall be owned by Party A, provided however that: (A) Party A shall timely inform Party B of the details of
such Business-Related Technology and shall provide relevant documents required by Party B; (B) if Party A intends to license or transfer such Business-Related Technology, Party A shall, to the extent not contrary to mandatory requirements of
PRC Laws, transfer the same to Party B or grant an exclusive license to Party B on a preemptive basis, and Party B may use such Business-Related Technology within the specific scope of transfer or license (however, Party B may determine in its
discretion whether to accept such transfer or license); if and only if Party B has waived its right to preemptive purchase or its right to exclusive license with respect to such Business-Related Technology, Party A may then transfer the title of, or
license, such Business-Related Technology, to a third party on terms and conditions no more favorable than those proposed to Party B (including, without limitation, transfer price or license fees) but shall ensure that such third party shall fully
comply with and perform the liabilities and obligations to be performed by Party A hereunder; (C) except in the case of a circumstance described in (B), during the term hereof, Party B shall have the right to demand to purchase such
Business-Related Technology, and in the event that such a request is so made, Party A shall, to the extent not contrary to mandatory requirements of PRC Laws, agree to such purchase request of Party B at the lowest purchase price then permissible by
PRC Laws. 

  

	 	5.3	In the event that Party B is granted, in accordance with Section 5.2 Subsection (2), an exclusive license to use the Business-Related Technology, such license shall comply with the following requirements:

  

	 	(1)	The term of the license shall be no less than five (5) years (from the date of effectiveness of the underlying license agreement); 

 

	 	(2)	The scope of the rights granted under the license shall be as broad as possible; 

  

	 	(3)	During the term of the license, no one (including Party A) other than Party B shall use or license another party to use such Business-Related Technology within the scope of the license; 

  
 6 

	 	(4)	To the extent not contrary to Section 5.3 Subsection (3), Party A shall have the right to relicense, in its discretion, such Business-Related Technology to another party; and 

 

	 	(5)	Upon expiry of the term of the license, Party B shall have the right to demand to renew the license agreement and Party A shall grant its consent, and upon such renewal the terms of such license agreement shall remain
unchanged other than amendments thereto which have been confirmed by Party B. 

  

	 	5.4	Notwithstanding Section 5.2 Subsection (2), a patent application in respect of any Business-Related Technology described therein shall be dealt with as follows: 

 

	 	(1)	If Party A intends to file a patent application with respect to any Business-Related Technology described in Section 5.2 Subsection (2), it shall first obtain written consent from Party B; 

 

	 	(2)	If and only if Party B has waived its right to purchase the patent application right for such Business-Related Technology, Party A may then file such patent application on its own or assign such right to a third party.
Prior to so transferring such patent application right to a third party, Party A shall ensure that such third party shall fully comply with and perform the liabilities and obligations to be performed by Party A hereunder; in addition, the terms on
which Party A transfers such patent application right to a third party (including, without limitation, transfer price) shall not be more favorable than those proposed by Party A to Party B under Section 5.4 Subsection (3); 

 

	 	(3)	During the term hereof, Party B may at any time request Party A to file patent applications with respect to such Business-Related Technology and may decide in its discretion whether to purchase the right to file such
patent application. If so requested by Party B, Party A shall, to the extent not contrary to the mandatory requirements of PRC Laws, transfer such right to file patent applications to Party B at the lowest transfer price then permissible by PRC
Laws; once Party B has been granted patents upon its so acquiring the right to file patent applications with respect to such Business-Related Technology and so filing such applications, Party B shall become the lawful owner of such patents.

  
 7 

	 	5.5	Each Party undertakes to the other Party that it will indemnify the other Party against any and all economic losses suffered by the other Party as a result of its infringement of third party intellectual properties
(including copyrights, trademarks, patents and know-hows). 

  

	6	Confidentiality Obligations 

  

	 	6.1	Irrespective of whether this Agreement has been terminated, each of Party A and Party B shall maintain in strict confidence the business secrets, proprietary information, Customer Information and any other information
of a confidential nature of the other Party coming into its knowledge during the entry into and performance of this Agreement (“Confidential Information”). Except where prior written consent has been obtained from the other Party or
where disclosure to a third party is mandated by relevant laws or regulations or listing rules, the Party receiving the Confidential Information shall not disclose any Confidential Information to any third party; the Party receiving the Confidential
Information shall not use, either directly or indirectly, any Confidential Information other than for the purpose of performing this Agreement. 

  

	 	6.2	The following information shall not constitute the Confidential Information: 

  

	 	(a)	any information which, as shown by written evidence, has previously been known to the receiving Party by way of legal means; 

  

	 	(b)	any information which enters the public domain other than as a result of a fault of the receiving Party; or 

  

	 	(c)	any information lawfully acquired by the receiving Party from another source subsequent to the receipt of relevant information. 

  

	 	6.3	A receiving Party may disclose the Confidential Information to its relevant employees, agents or its appointed professionals provided that such receiving Party shall ensure that such persons shall comply with relevant
terms and conditions of this Agreement and that it shall undertake any liability arising out of any breach by such persons of relevant terms and conditions of this Agreement. 

 

	 	6.4	Notwithstanding any other provisions of this Agreement, the validity of this Section shall not be affected by any termination of this Agreement 

  
 8 

	7	Representations and Warranties by Party A 

 Party A hereby represents and warrants to
Party B that: 
  

	 	7.1	It is a limited liability company duly registered and lawfully existing under PRC Laws with independent legal personality, has full and independent legal status and capacity to execute, deliver and perform this
Agreement and may sue or be sued as an independent party. 

  

	 	7.2	It has full internal corporate power and authority to execute and deliver this Agreement and all other documents to be executed by it in connection with the transactions contemplated hereunder as well as full power and
authority to consummate the transactions contemplated hereunder. This Agreement will be lawfully and duly executed and delivered by it, and will constitute its legal and binding obligations enforceable against it in accordance with its terms.

  

	 	7.3	It shall timely inform Party B of any circumstance which has or is likely to have a material adverse effect on Party A Business or operation thereof and shall use its best efforts to prevent the occurrence of such
circumstance and/or the expansion of losses. 

  

	 	7.4	Without written consent of Party B, Party A will not dispose of its material assets or change its current shareholding structure in whatsoever manner. 

 

	8	Representations and Warranties by Party B 

 Party B hereby represents and warrants to
Party A that: 
  

	 	8.1	It is a limited liability company duly registered and lawfully existing under PRC Laws with independent legal personality, has full and independent legal status and capacity to execute, deliver and perform this
Agreement and may sue or be sued as an independent party. 

  

	 	8.2	It has full internal corporate power and authority to execute and deliver this Agreement and all other documents to be executed by it in connection with the transactions contemplated hereunder as well as full power and
authority to consummate the transactions contemplated hereunder. This Agreement will be lawfully and duly executed and delivered by it, and will constitute its legal and binding obligations enforceable against it in accordance with its terms.

  

	9	Term of Agreement 

  

	 	9.1	This Agreement shall become effective when it is duly executed by the Parties hereto. Unless otherwise expressly stipulated herein, the term of this Agreement shall last, in the absence of early termination by mutual
written agreement, twenty (20) years. This Agreement is the final version agreement which the Parties have reached upon in respect of exclusive technology service and relevant issues; this Agreement shall fully replace any and all of previous
consultation, negotiation or discussion which all Parties have reached upon, and shall terminate any and all of letters of intent, memorandums, agreements or other documents (including without limitation the Exclusive Technology Agreement executed
by and among the parties on July 12, 2016) which all Parties have reached upon and agreed. If there is any conflict, contravention or inconsistence in such consultation, negotiation, discussion results, such letters of intent, memorandum,
agreements or other documents against this Agreement, this Agreement shall prevail. 

  
 9 

	 	9.2	If necessary, the Parties shall, within three (3) months prior to the expiration of their respective period of business, complete the review and approval and registration procedures to extend their respective
period of operation, so as to maintain the validity of this Agreement. 

  

	 	9.3	Upon termination hereof, the Parties shall continue to comply with their respective obligations under Articles 6, 11 and 13. 

  

	10	Notice 

  

	 	10.1	Any notice, request, demand and other correspondences required by or made pursuant to this Agreement shall be made in writing and delivered to the relevant Parties. 

 

	 	10.2	Aforesaid notice or other correspondences shall be deemed delivered when it is transmitted if transmitted by fax or telex; or upon delivery, if delivered in person; or five (5) days after posting, if delivered by
mail; or upon the signature of the recipient, if delivered by courier service. But if the notice is returned due to the recipient’s fault or the recipient’s refusal to sign, the notice is deemed delivered on the date when the notice is
returned. If the notice is transmitted in more than a method mentioned above, the notice is delivered at the earliest time among such methods. 

  

	11	Liability for Default 

  

	 	11.1	The Parties agree and acknowledge that if any Party (“Defaulting Party”) substantially breaches any provision hereunder, or substantially fails to perform or substantially delays in performing any
obligations hereunder, such breach, failure or delay shall constitute a default hereunder (“Default”) and that in such event, the non-defaulting Party shall have the right to demand the Defaulting Party to cure such Default or take
remedial measures within a reasonable time. If the Defaulting Party fails to cure such Default or take remedial measures within such reasonable time or within ten (10) days after the non-defaulting Party notifies the Defaulting Party in writing
and requests it to cure such Default, the non-defaulting Party may elect, in its discretion, to (1) terminate this Agreement and demand the Defaulting Party to fully indemnify for damage; or (2) demand enforced performance by the
Defaulting Party of its obligations hereunder and full indemnification from the Defaulting Party for damage. The full indemnification for damage is limited to the amount of Service Fees paid in that year. 

  
 10 

	 	11.2	Notwithstanding Clause 11.1 above, the Parties agree and acknowledge that unless otherwise stipulated by Laws or this Agreement, Party A shall in no event be permitted to demand to terminate this Agreement on the ground
of any reason. 

  

	 	11.3	Notwithstanding any other provisions hereof, the validity of this Article 11 shall not be affected by any termination of this Agreement. 

 

	12	Force Majeure 

 If there occurs an earthquake, typhoon, flood, war, computer virus, tool
software design loophole, hacking attack on the Internet, change of policy or law or any other force majeure event which is unforeseeable and whose consequences are insurmountable or unavoidable and a Party is directly affected thereby in its
performance of this Agreement or is prevented thereby from performing this Agreement on agreed terms, such prevented Party shall immediately notify the other Party by fax of the same and shall within thirty (30) days provide an evidencing
document to be issued by the notary body of the place of the force majeure event setting forth the details of such force majeure and the reasons for such failure to perform, or for the need for postponed performance of, this Agreement. The Parties
shall in light of the extent of the effect of such force majeure event on the performance of this Agreement, agree on whether to waive performance of part of this Agreement or to permit postponed performance thereof. No Party shall be held liable to
indemnify the other Party against its economic losses resulting from a force majeure event. The term of this Agreement shall end when the Contractual Obligations is performed in full or when the Secured Indebtedness is repaid in full. 

  
 11 

	13	Miscellaneous 

  

	 	13.1	This Agreement is made in Chinese in two (2) originals, with each Party holding one (1) copy. 

  

	 	13.2	The entry into, effectiveness, performance, modification, interpretation and termination of this Agreement shall be governed by the Laws of the People’s Republic of China. With the special consensus of all Parties,
the digital version of the executed copy of this Agreement saved as the form of PDF, as exchanged among all Parties, is deemed an original copy. 

  

	 	13.3	Dispute Resolution 

  

	 	(1)	Any dispute, argument or claim (hereinafter the “disputes”) arising out of or in connection with of this Agreement or breach, termination or invalidity of this Agreement shall be settled by both Parties
of the disputes through consultations. The Party raising the claim shall promptly inform the other Party that disputes have arisen and illustrate the nature of the dispute via a notice with date. In the absence of an agreement being reached by the
Parties within thirty (30) days after the dispute notice, the dispute may be brought by any Party the dispute before the China International Economic and Trade Arbitration Commission (hereinafter “CIETAC”) to be arbitrated in
Beijing pursuant to CIETAC’s effective arbitration rules upon the submission of the dispute and this Clause 13.3. The arbitration award shall be final and binding on the Parties to the dispute. 

 

	 	(2)	The arbitral tribunal shall consist of three (3) arbitrators. Each Party to the dispute has the right to respectively appoint one (1) arbitrator, and the third (3rd) arbitrator shall be jointly appointed
by both Parties to the dispute. If the Parties to the dispute cannot reach agreement on the appointment of the third (3rd) arbitrator, such arbitrator shall be appointed by the director of the Arbitration Commission. The third arbitrator shall
be the chief arbitrator of the arbitral tribunal. 

  

	 	(3)	When making an arbitral award, the arbitrator shall take into account the intention of hereto determined by this agreement the Parties. 

 

	 	(4)	The arbitral award made by the arbitral tribunal pursuant to this Clause 13.3 shall be made in writing and shall be final and binding upon both Parties to the dispute. Both Parties to the dispute should do their best to
enable any of such arbitral awards to be implemented in time and provide any necessary assistance to the implementation. 

  

	 	(5)	The aforesaid provisions of this Clause 13.3 shall not prevent the concerned Parties from applying for any prior protection or injunction for any reason, including without limitation the subsequent enforcement of the
arbitral award 

  
 12 

	 	13.4	No right, power or remedy empowered to any Party by any provision of this Agreement shall preclude any other right, power or remedy enjoyed by such Party in accordance with law or any other provisions hereof and no
exercise by a Party of any of its rights, powers and remedies shall preclude its exercise of its other rights, powers and remedies. 

  

	 	13.5	No failure or delay by a Party in exercising any right, power or remedy under this Agreement or laws (hereinafter the “Party’s Rights”) shall result in a waiver of such right, and no single or
partial waiver by a Party of the Party’s Rights shall preclude such Party from exercising such rights in any other way or exercising the remaining part of the Party’s Rights. 

 

	 	13.6	The section headings herein are inserted for convenience of reference only and shall in no event be used in or affect the interpretation of the provisions hereof. 

 

	 	13.7	Each provision contained herein shall be severable and independent of any other provisions hereof, and if at any time any one or more provisions hereof become invalid, illegal or unenforceable, the validity, legality
and enforceability of the remaining provisions hereof shall not be affected thereby. 

  

	 	13.8	Any amendments or supplements to this Agreement shall be made in writing and shall take effect only when properly signed by the Parties hereto. 

 

	 	13.9	Unless otherwise stipulated herein, without prior written consent of the other Party, neither Party shall assign any of its rights and/or obligations hereunder to any third party. 

 

	 	13.10	This Agreement shall be binding upon the legal assignees or successors of the Parties. 

  

	 	13.11	The Parties undertake to each file and pay, in accordance with law, the taxes involved in the transaction hereunder. 

[THE REMAINDER OF THIS PAGE IS INTENTIONALLY LEFT BLANK] 

  
 13 

 IN WITNESS WHEREOF, the Parties hereto have executed this Agreement as of the date first above written. 

 

	
	Guangzhou Kugou Computer Technology Co., Ltd.
	/s/ Seal of Guangzhou Kugou Computer Technology Co., Ltd.
	
	Tencent Music (Beijing) Co., Ltd.
	/s/ Seal of Tencent Music (Beijing) Co., Ltd.

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