Why Tencent Has Been in the News Lately

In the news

Tencent (TCEHY) has been in the news for the last few days. According to Bloomberg, Tencent “is weighing a bid for part of Temasek Holdings Pte’s stake in global retailer A.S. Watson Group, people with knowledge of the matter said.” According to the report, “No final decisions have been made, and there’s no certainty the suitors will proceed with firm offers, the people said.” Bloomberg said, “President Martin Lau told an internal meeting late last year that its lowest-performing general managers will need to leave the company or be demoted, mainly because not much staff-pruning has occurred in the past.”

The gaming industry has been hit by a growth slowdown. The success of free-to-play games, like Fortnite, has also shaken the industry.

Read Wall Street Weighs In on Gaming Stocks in March to see how analysts are rating US gaming stocks.