Sea tumbled nearly 8% in morning trading as Tencent would cut its voting stake.
Tencent said on Tuesday it would cut its stake in Sea Ltd, reducing its voting power to under 10%.
Tencent is selling at a price range of $208.00-$212.00 per share, bringing the total divestment to up to $3.1 billion. Sea's last close price was $223.31 per share. The trade has not been priced, according to a person with direct knowledge.
Tencent will divest about 14.5 million shares, reducing its stake to 18.7% from 21.3%. The company said it intends to retain the substantial majority of its stake in Sea for the long term.
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.
Comments