Tencent Buybacks Hit Record as China Watchdog Roiled Markets
- Tencent share price yet to recover after Dec. 22 plunge
- Daily repurchases more than doubled since new proposal
This article is for subscribers only.
Tencent Holdings Ltd. bought back a record HK$10 billion ($1.3 billion) of shares in December and accelerated the pace even further this month after China’s gaming regulator surprised investors with a raft of new regulations that triggered a broad tech selloff.
China’s most valuable company sharply boosted its buybacks as the shock announcement triggered a 12% plunge on Dec. 22. Tencent has since increased daily purchases to about HK$1 billion, compared with an average of HK$375 million a day last year prior to the sweeping gaming restrictions. It kept up that velocity Thursday, meaning the company has spent HK$3 billion this week alone.