Chinese tech group Tencent on Wednesday said it would “distribute” the majority of its $22 billion stake in Meituan, a food delivery company, in dividend, as it works to reduce its holdings in the country’s technology sector, reports the Financial Times.
Tencent’s quarterly revenue fell for a second quarter, underscoring the toll of Beijing’s bruising regulatory crackdown on the country’s internet sector and the impact of slowing economic growth in the world’s second-largest economy.
The tech group posted quarterly revenue of RMB 140 billion ($19.7 billion) in the three months ending September 30, down 2% from the same period last year and slightly missing analyst forecasts of RMB 141.4 billion. Tencent’s net profit increased 2% to RMB 32.3 billion.