Tencent to make US$16bil handout


Lower holding: Tencent’s headquarters in Shenzhen. The group, which controls 17% of JD.com, will hold 2.3% of the e-commerce company’s shares after the handout. — Bloomberg

SHANGHAI: Tencent Holdings Ltd plans to distribute more than US$16bil (RM67.33bil) of JD.com Inc shares as a one-time dividend, representing a near-retreat from the Chinese e-commerce firm that is stoking concerns it will pull away from other marquee investments.

The surprise move to divest most of its stake in China’s No. 2 online retailer comes as Beijing punishes the country’s tech giants for monopolistic behaviour, including maintaining closed ecosystems that favour certain companies at the expense of others.

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