Tencent Sells Down Its Stake in Koolearn – Divestments to Continue Further
Equity Bottom-Up
392 Views, 23 Jun 2022 19:27
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EXECUTIVE SUMMARY
Tencent has been actively divesting its investments (mainly in China) given the ongoing regulatory challenges faced by tech platforms in China. Moreover, macroeconomic conditions also have led to these sell-downs.
The company has explicitly mentioned that it would restructure its investment portfolio to manage risk, this includes divestments and distribution to shareholders.
The latest sell-down was Tencent (700 HK) stake in online education platform Koolearn, whose share price more-than tripled this month following its venture into livestreaming.