Tencent shareholders get $16.4 billion windfall as JD.com stake given as dividend
Information about Tencent shareholders get $16.4 billion windfall as JD.com stake given as dividend
Kevin David Scam or Legit
By Sophie Yu and Scott Murdoch
BEIJING/HONG KONG (Reuters) – Chinese gaming and social media company Tencent will hand a $16.4 billion JD.com stake as a dividend to its shareholders, weakening its ties to the e-commerce firm and raising questions about its plans for other holdings.
Tencent said on Thursday it will distribute HK$127.69 billion ($16.37 billion) worth of its JD.com stake to shareholders, slashing its holding in China’s second-biggest e-commerce company to 2.3% from around 17% now and losing its spot as JD.com’s biggest shareholder to Walmart.
The owner of WeChat, which first invested in JD.com in 2014, said it was the right time to transfer its stake, given the e-commerce firm had reached a stage where it can self-finance its growth.
The divestment move comes as Beijing …