Trump's vaguely worded executive order targeting Tencent cratered the company's stock - Business Insider

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Trump's vaguely worded executive order targeting Tencent cratered the company's stock

Tencent's stock price fell as much as 10% in the hours after President Donald Trump issued a vaguely worded executive order barring US individuals and companies from doing business with its chat app WeChat.It was initially unclear whether the order targeted Tencent's entire business. Tencent has a big presence in gaming, with stakes in Epic Games, Activision/Blizzard, and Ubisoft.

The order, scheduled to take effect September 20, prohibits US citizens and companies from carrying out any "transaction" with the Tencent-owned chat app WeChat, though the order was not precise about what counted as a "transaction." The vague wording implied that Tencent's entire business could be affected, which the potential for serious ramifications in the US gaming industry.largest gaming company in the world

A White House official confirmed to Business Insider late Thursday that the order applied only to transactions relating to WeChat and not to Tencent's wider business.

 

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