A tencent move to sell $ 3bn of shares of the Sea causes stocks to fall sharply

Shares in the seafront fell more than 11 percent on Tuesday after China’s Tencent online retailer sold more than $ 3bn of its assets to a Singaporean sports club based in New York.

The well-known Chinese technical company said that when the project is completed, its interest in the Sea will drop from 21.3% to 18.7%. The seaNasdaq stock shares fell 11.41% to $ 197.84 on Tuesday.

Tencent’s announcement came less than a month after the company sold its value to JD.com, a Chinese ecommerce business.

The group said it would “keep” a lot of “maritime resources” for a long time “and would not sell any more shares for the next six months. He did not give a reason for the sale but said the money would “support other investments and development strategies”.

Tencent said last month that allocating $ 16bn of shares in JD.com for shareholders, reducing its share from 17 percent to 2.3 percent.

A person close to Tencent said at the time of the split that executives did not ask the company to sell its stock, which is worth $ 259bn according to Bernstein experts, but Tencent was. who loves to show it was not “empire building”.

Tencent did not want to “appear to be spending a lot of money forever”, the man added.

In addition to selling its value at Sea, Tencent also said it would change its Class B shares, which currently have three votes each, to Class A shares at Singapore’s annual general meeting in February. After the turnout, Forrest Li, Sea’s chief executive officer, will have all shares of Class B and Tencent’s voting power in the company will fall below 10 percent.

Tencent has been a major businessman in Chinese tech companies, but last year the group also rapid development his foreign currency.