This website collects cookies to deliver better user experience. Cookie Policy
Accept
Sign In
The Wall Street Publication
  • Home
  • Trending
  • U.S
  • World
  • Politics
  • Business
    • Business
    • Economy
    • Real Estate
    • Markets
    • Personal Finance
  • Tech
  • Lifestyle
    • Lifestyle
    • Style
    • Arts
  • Health
  • Sports
  • Entertainment
Reading: Tencent Sells Roughly $3 Billion in Shares of Singapore’s Sea
Share
The Wall Street PublicationThe Wall Street Publication
Font ResizerAa
Search
  • Home
  • Trending
  • U.S
  • World
  • Politics
  • Business
    • Business
    • Economy
    • Real Estate
    • Markets
    • Personal Finance
  • Tech
  • Lifestyle
    • Lifestyle
    • Style
    • Arts
  • Health
  • Sports
  • Entertainment
Have an existing account? Sign In
Follow US
© 2024 The Wall Street Publication. All Rights Reserved.
The Wall Street Publication > Blog > Tech > Tencent Sells Roughly $3 Billion in Shares of Singapore’s Sea
Tech

Tencent Sells Roughly $3 Billion in Shares of Singapore’s Sea

Editorial Board Published January 5, 2022
Share
Tencent Sells Roughly  Billion in Shares of Singapore’s Sea
SHARE

Tencent Holdings Ltd. TCEHY -4.48% has cut its stake in a highly valued Southeast Asian internet company, shedding an ownership position that was worth about $3 billion.

Tencent, one of the biggest Chinese internet businesses, said it is selling about 14.5 million shares of Sea Ltd. SE -6.63% , a company that runs that runs a popular e-commerce platform called Shopee, makes digital games and offers online financial services. U.S.-traded shares of Sea had closed on Monday at $223.31 apiece.

Following the deal, Tencent will still have a roughly 19% equity stake in Singapore-headquartered Sea, down from 21% previously, and it said it would maintain business relationships with the company. Tencent said it plans to use proceeds from the Sea transaction to fund other investments and social initiatives.

Tencent, which owns the WeChat social-media app, also has videogame studios and has collaborated with Sea on videogame distribution in Southeast Asia for years.

Investors sold off Sea stock on news of Tencent’s divestment, sending its U.S.-traded shares down 11% on Tuesday to close at $197.84. Sea’s valuation has gained significant ground in recent years, with shares trading at nearly five times where they started 2020 even after Tuesday’s decline. Sea’s market capitalization has recently topped $120 billion.

Tencent sold its Sea shares at $208 apiece, at the bottom of an offered range, according to a term sheet seen by The Wall Street Journal. The sale raised a little over $3 billion.

“The share sale unlocks a portion of the value of Tencent’s investment in Sea, which has seen significant growth and expansion in its global business operations,” Tencent said. The company added that the deal’s provisions restrict further sales of Sea stock over the next six months.

Last month, Tencent unwound an even larger corporate investment when it distributed 457 million shares of JD.com Inc. to its own shareholders in the form of a dividend. Those shares in JD.com, an e-commerce company, were worth about $16.4 billion at the time. Analysts said that the move might have been a response to risks posed by an aggressive regulatory stance by China’s government.

Chinese technology companies have been facing government pressure related to anticompetitive behavior and privacy issues, part of a campaign Beijing has said is intended to get the companies to serve public interests better.

Tencent was among the businesses targeted by the government in an effort to rein in their use of big data in providing financial services.

Tencent’s Hong Kong-listed shares fell 3% in Wednesday morning trading. They have declined about 25% over the past 12 months.

China’s Tencent is backing the developers of blockbuster videogames such as ‘Pokémon Unite’ and ‘League of Legends.’ But Beijing’s crackdown on the industry at home, including when minors can play online games, could affect the company’s global videogame empire. Photo composite: Sharon Shi

Write to Matt Grossman at [email protected]

Copyright ©2022 Dow Jones & Company, Inc. All Rights Reserved. 87990cbe856818d5eddac44c7b1cdeb8

Appeared in the January 5, 2022, print edition as ‘Tencent Unloads $3 Billion Stake in Internet Company.’

TAGGED:Tech NewsWall Street Publication
Share This Article
Twitter Email Copy Link Print
Previous Article NASCAR rejects Brandon Brown’s ‘Let’s go, Brandon’-themed car NASCAR rejects Brandon Brown’s ‘Let’s go, Brandon’-themed car
Next Article Sony Looks to Sell Its Own Electric Vehicles Sony Looks to Sell Its Own Electric Vehicles

Editor's Pick

New Council of Financial Advisors report finds tariffs not inflicting inflation

New Council of Financial Advisors report finds tariffs not inflicting inflation

Former Trump administration head of financial coverage Tomas Philipson discusses President Trump’s commerce talks with South Korea and Japan, present…

By Editorial Board 4 Min Read
“A Family’s Fight to Reclaim Their Legacy”
“A Family’s Fight to Reclaim Their Legacy”

Introduction: For generations, the Wright family has worked and lived on their…

5 Min Read
NBA Summer time League takeaways: Warriors rookie Will Richard makes debut vs. Spurs
NBA Summer time League takeaways: Warriors rookie Will Richard makes debut vs. Spurs

Richard makes debut SAN FRANCISCO – The Warriors‘ acquisition of their three…

5 Min Read

Oponion

A Woman’s Frantic Search for Family Trapped in Mariupol

A Woman’s Frantic Search for Family Trapped in Mariupol

The message came from an unfamiliar Ukrainian number while Anastassia…

April 8, 2022

Arnold Palmer’s daughter reacts to Trump’s story about her dad’s genitalia

One of many late golf legend…

October 21, 2024

Oil Demand to Exceed Pre-Covid Levels in 2022, IEA Says

Global oil demand will exceed pre-pandemic…

January 19, 2022

YouTube Advances Plans for Streaming Video Marketplace

YouTube is planning to launch an…

August 12, 2022

Bhad Bhabie & Child Daddy Face Armed Intruders at Dwelling

Studying Time: 3 minutes Bhad Bhabie…

March 7, 2025

You Might Also Like

The 142 Prime Day Offers You Can Nonetheless Snag If You’re Fast
Tech

The 142 Prime Day Offers You Can Nonetheless Snag If You’re Fast

Prime Day could also be over, however not each deal is useless. These hand-picked Prime Day offers are nonetheless on.…

95 Min Read
These Are the Finest Offers We’ve Discovered on Pet Tech for Amazon Prime Day
Tech

These Are the Finest Offers We’ve Discovered on Pet Tech for Amazon Prime Day

Amazon Prime Day is arguably one of the best time of the 12 months to improve your pet's setup for…

17 Min Read
Banish Boredom With These Prime Day Board Recreation Offers
Tech

Banish Boredom With These Prime Day Board Recreation Offers

With summer time holidays nonetheless stretching off into the space, making the most of Prime Day board sport offers or…

13 Min Read
You Don’t Want an iPad, however Do You Need One? Then These Prime Day Apple Offers Are for You
Tech

You Don’t Want an iPad, however Do You Need One? Then These Prime Day Apple Offers Are for You

When you've got one Apple product, you normally have all of them—whether or not that is AirPods, an iPhone, an…

15 Min Read
The Wall Street Publication

About Us

The Wall Street Publication, a distinguished part of the Enspirers News Group, stands as a beacon of excellence in journalism. Committed to delivering unfiltered global news, we pride ourselves on our trusted coverage of Politics, Business, Technology, and more.

Company

  • About Us
  • Newsroom Policies & Standards
  • Diversity & Inclusion
  • Careers
  • Media & Community Relations
  • WP Creative Group
  • Accessibility Statement

Contact

  • Contact Us
  • Contact Customer Care
  • Advertise
  • Licensing & Syndication
  • Request a Correction
  • Contact the Newsroom
  • Send a News Tip
  • Report a Vulnerability

Term of Use

  • Digital Products Terms of Sale
  • Terms of Service
  • Privacy Policy
  • Cookie Settings
  • Submissions & Discussion Policy
  • RSS Terms of Service
  • Ad Choices

© 2024 The Wall Street Publication. All Rights Reserved.

Welcome Back!

Sign in to your account

Lost your password?