16-11-2017, 04:05 PM
Tencent's Touch Doesn't Guarantee IPO Riches for Investors
By Crystal Tse
November 16, 2017, 3:32 PM GMT+8
Investors are learning that the backing of Tencent Holdings Ltd. isn’t a guarantee of IPO riches.
Stock buyers piled into the initial public offering of the Chinese technology titan’s e-book arm China Literature Ltd., hoping it would repeat Tencent’s 500-fold increase since its own listing. While they’ve been quickly rewarded since China Literature’s debut last week, with shares rising 83 percent through mid-day Thursday, some other Tencent-backed companies that recently went public in the U.S. are far from thriving.
Shares of Sogou Inc., China’s No. 3 search engine, closed below their offer price Wednesday after three straight days of declines. The company, whose biggest shareholder is Tencent, is now down 2.4 percent since its debut in New York last week. Sea Ltd., a Tencent-backed online gaming portal, has fallen 1.9 percent in U.S. trading since its October listing.
More details in https://www.bloomberg.com/news/articles/...-investors
By Crystal Tse
November 16, 2017, 3:32 PM GMT+8
Investors are learning that the backing of Tencent Holdings Ltd. isn’t a guarantee of IPO riches.
Stock buyers piled into the initial public offering of the Chinese technology titan’s e-book arm China Literature Ltd., hoping it would repeat Tencent’s 500-fold increase since its own listing. While they’ve been quickly rewarded since China Literature’s debut last week, with shares rising 83 percent through mid-day Thursday, some other Tencent-backed companies that recently went public in the U.S. are far from thriving.
Shares of Sogou Inc., China’s No. 3 search engine, closed below their offer price Wednesday after three straight days of declines. The company, whose biggest shareholder is Tencent, is now down 2.4 percent since its debut in New York last week. Sea Ltd., a Tencent-backed online gaming portal, has fallen 1.9 percent in U.S. trading since its October listing.
More details in https://www.bloomberg.com/news/articles/...-investors