Tencent slumps amid speculation that Prosus is speeding up share sales | Business

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Tencent Holdings tumbled by the most in seven weeks amid speculation its largest shareholder Prosus may speed up selling shares in the Chinese internet giant. | News24_Business

Tencent has bought back a combined 8.3 million shares, snapping up almost every trading day since March 27, after suspending the operation for more than two months, according to data compiled by Bloomberg. Its buybacks earlier didn’t manage to the stock declines when the market was concerned about a regulatory crackdown and Covid’s impact on the economy.

Shares of Tencent have rebounded 90% from its October low. The company’s plan to develop a ChatGPT-like bot and Beijing’s resumption of game approval have boosted its fortunes. "Tencent’s share price always takes a hit when there’s news of Prosus selling," said Vey-Sern Ling, managing director at Union Bancaire Privee."But the sale doesn’t affect the fundamentals of Tencent."In times of uncertainty you need journalism you can trust. For 14 free days, you can have access to a world of in-depth analyses, investigative journalism, top opinions and a range of features. Journalism strengthens democracy. Invest in the future today.

 

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