Tencent Investor Prosus Slumps Amid China’s Ed-Tech Crackdown
- Prosus shares fell 9.3% Monday, most intraday since November
- Chinese curbs make it difficult for foreign ed-tech ambitions
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Tech investor Prosus NV fell sharply in Amsterdam trading after China’s move to place restrictions on the country’s education tech sector caused a plunge in shares in online giant Tencent Holdings Ltd.
Prosus plunged as much as 9.3% Monday, the most intraday since November last year. The Chinese government has announced curbs including banning companies that teach school curricula from making profit, raising capital or going public. Prosus has invested heavily in the global ed-tech sector, spending more than $2 billion on online learning and employee training platforms last month in Europe.