Tencent dishes out over $16bn to shareholders in JD.com windfall
Chinese tech giant Tencent is set to dish out $16.4bn to its shareholders in the form of the majority of its stake in JD.com.
The move will see the gaming and social media group cut its holding from 17 per cent to just 2.3 per cent.
It means Tencent will step down from the helm as JD’s largest shareholder, with Walmart picking up the crown.
Both companies confirmed that a business relation will continue – however, Tencent president Martin Lau will step down from JD’s board, effective immediately.
It comes as JD’s popularity amid the pandemic-induced e-commerce boom has set it up to self-finance its growth.
Though it did rattle local investors, leaving JD’s shares down seven per cent by close of play.
Meanwhile, Tencent’s shares lifted four per cent, with shareholders seemingly pleased with the payout.