Tencent’s desire for dealmaking waned in the second quarter of this year, when China’s market regulator fined the tech giant as part of an antitrust clampdown on the country’s big tech and internet companies.
The Shenzhen-based company finalized 55 investments in the second quarter, about half the number of the 108 deals it completed in the previous three months, according to a report released Monday by Chinese corporate information provider Qichacha.
In total, the social media and gaming titan participated in 163 investment deals worth 93.1 billion yuan ($14.4 billion) in the first half, the report said. The investments were in industries ranging from entertainment and enterprise services to finance and education, but nearly one-third were associated with the video game industry, reflecting Tencent’s growing bet on a business that it counts as one of its biggest revenue generators.
Over the past several months, Beijing has moved to curb the sprawling expansion of the country’s once loosely regulated tech and internet giants in a sweeping antitrust crackdown aimed at bringing several grey areas of their businesses under its regulatory purview.
In April, Tencent was fined 1 million yuan by China’s State Administration of Market Regulation for not reporting two share acquisitions it had made without advance permission from regulators.
Contact reporter Ding Yi (email@example.com) and editor Heather Mowbray (firstname.lastname@example.org)