Song drunk plays in company (7)
I believe the answer is:
calypso
'song' is the definition.
(thesaurus)
'drunk plays in company' is the wordplay.
'drunk' indicates anagramming the letters.
'in' means one lot of letters goes inside another.
'company' becomes 'co' (abbreviation).
'plays' anagrammed gives 'alyps'.
'alyps' placed inside 'co' is 'CALYPSO'.
(Other definitions for calypso that I've seen before include "Hostage-holding nymph" , "Satirical West Indian song and dance" , "Caribbean satirical song" , "Topical West Indian song - orchid - sea nymph" , "WI song" .)