China Techs Take Beating After Tencent Profit Shrinks

Shares of internet giant Tencent Holdings Ltd. fell 3% in morning trade in Hong Kong after the company reported a rare drop in quarterly profit, extending a slide that has wiped nearly $50 billion in market value from the company this week.

Tencent’s shares have been under pressure for most of this week, after the company was forced to pull a popular new game from its online platform just days after the title’s release. That move drew attention to a bigger regulatory freeze on approval of all new game titles in China since March, which has put a chill on the broader industry. https://www.caixinglobal.com/2018-08-14/tencent-gets-regulatory-rebuke-over-hit-game-101314962.html