|Bid||0.00 x 0|
|Ask||0.00 x 0|
|Day's Range||52.40 - 52.98|
|52 Week Range||40.04 - 58.66|
|Beta (5Y Monthly)||1.00|
|PE Ratio (TTM)||39.03|
|Forward Dividend & Yield||0.15 (0.29%)|
|Ex-Dividend Date||May 14, 2020|
|1y Target Est||392.69|
(Bloomberg) -- Companies are selling more bonds than ever with the backing of central banks, putting supply in the U.S. and Europe on track to reach records.Any one of eight U.S. investment-grade companies expected to issue debt Thursday could tip year-to-date supply past $1 trillion at the fastest rate ever, while European borrowers passed 900 billion euros ($991 billion) on Wednesday, two months earlier than in 2019.Issuance has been rampant since the Federal Reserve and European Central Bank each announced programs to buy corporate bonds in March, enticing borrowers to tap the market at a frantic pace. Credit risk has eased with additional fiscal stimulus, especially from the European Union Wednesday.Read more: Credit Risk Eases to Pre-Pandemic Levels With Latest EU StimulusThat’s helped encourage riskier debt sales, including those from hotel chain Marriott International Inc., borrowing in the U.S. market for the second time Thursday in as many months. Several European banks including Commerzbank AG and Credit Agricole SA are selling so-called Tier 2 bonds, a kind of lower-grade debt issued by financial firms.In Asia, dollar bond sales for the month are at $23.5 billion, putting the region on track for the busiest ever May, even amid mounting geopolitical tensions with China.U.S.Norwegian agricultural chemical producer Yara International ASA is in the investment-grade market, while Ortho-Clinical Diagnostics Inc. is selling high-yield bonds.For deal updates, click here for the New Issue MonitorIn May alone, some 27 companies reporting at least $50 million in liabilities filed for bankruptcy -- the highest number since the Great RecessionFor more, click here for the Credit Daybook AmericasEurope11 issuers across 15 tranches are offering bonds in Europe’s primary market on Thursday, after annual issuance has surpassed 900 billion euros, a level reached in July last year.Euro investment-grade company bond spreads tightened to 170 basis points, capping seven consecutive days of declines, according to a Bloomberg Barclays indexCredit Agricole said in a company statement it aims to buy back $7.5 billion of bonds over 15 tranchesAsiaSpreads on Asia dollar bonds were largely unchanged on Thursday, according to a trader.Tech giant Tencent sold a $6 billion offering and the notes traded tighter in secondaryAt least three borrowers were marketing dollar bonds to companies, including Beijing Hongkun Weiye Real Estate Development Co., Avic Capital and Keppel Corp.“Over the medium term, liquidity in the market still need to find a home for risky assets once the market stabilizes. This would likely provide some support for Chinese SOEs in tapping the market for USD funding”: Bank of SingaporeFor more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
Chinese companies are increasingly unwelcome on US equity exchanges. US investor sentiment has soured after a string of accounting scandals. Washington may revoke Hong Kong’s special trading status as ...
Chinese social media and gaming giant Tencent Holdings Ltd <0700.HK> said on Thursday it raised $6 billion in a U.S. dollar bond sale - the largest debt deal by an Asian corporate in 2020. The deal was finalised early on Thursday in which Tencent, raised $1 billion in five-year debt, $2.25 billion in 10-year, $2 billion in 30-year and $750 million in 40-year debt, a term sheet showed. It was the first time Tencent, Asia's second-most valuable company by market capitalisation, raised 40-year debt in its history.
(Bloomberg) -- TikTok’s parent ByteDance Ltd. generated more than $3 billion of net profit on over $17 billion in revenue last year, figures that show the world’s most valuable startup is still growing at a brisk rate, according to people familiar with the matter.The revenue for last year was more than double the company’s tally of about $7.4 billion in 2018, propelled by phenomenal growth in user traffic that’s drawn advertisers away from Tencent Holdings Ltd. and Baidu Inc. The people asked not to be identified because the financial details are private.ByteDance has emerged as one of the tech industry’s most surprising success stories, an innovative Chinese company that is challenging the global dominance of U.S. internet giants. It draws some 1.5 billion monthly active users to a family of apps that includes the TikTok short-video platform, its Chinese twin Douyin and the news service Toutiao. This month, the company poached Walt Disney Co. streaming czar Kevin Mayer to become chief executive officer of TikTok.The company owes much of its success to TikTok, now the online repository of choice for lip-synching and dance videos by American teens. The ambitious company is also pushing aggressively into a plethora of new arenas from gaming and search to music. ByteDance could fetch a valuation of between $150 billion and $180 billion in an initial public offering, a premium relative to sales of as much as 20% to social media giant Tencent thanks to a larger global footprint and burgeoning games business, estimated Ke Yan, Singapore-based analyst with DZT Research.“None of the Chinese tech companies has achieved this level of success in the global market before ByteDance,” he said, adding neither social media company harbors much debt. “The fact that ByteDance is making profit, if true, and sitting on a $6 billion cash pile means that it is not in a rush at all to come to market to raise capital, and therefore less likely to offer the shares at a more reasonable price for IPO investors.”ByteDance, led by Zhang Yiming, is becoming a viable rival to the dominant American online behemoths, Facebook Inc. and Alphabet Inc. Facebook unit Instagram brought in about $20 billion in advertising revenue in 2019, Bloomberg previously reported. Google said its video unit YouTube recorded $15.1 billion in ad sales last year.ByteDance representatives didn’t respond to a request for comment.That success has come despite American lawmakers raising concerns about privacy and censorship. In a rare bipartisan effort in Washington, Republican Senator Tom Cotton and Senate Minority Leader Chuck Schumer last year urged an investigation into TikTok, labeling it a national security threat.President Donald Trump on Wednesday threatened to regulate or shut down social media companies, tweeting that the platforms attempt to silence conservative voices. Twitter Inc. on Tuesday added a fact-checking link to two of Trump’s tweets to his 80 million followers.ByteDance is strengthening its operations in newer arenas such as e-commerce and gaming. This year, it kicked off a wave of hiring and envisions hitting 40,000 new jobs in 2020, hoping to match headcount of e-commerce giant Alibaba Group Holding Ltd. at a time technology corporations across the globe are furloughing or reducing staff.The company had very preliminary discussions about an initial public offering last year, but is in no rush to go public given its financial performance, people have said. It now has more than $6 billion of cash on hand, the people said.ByteDance, which is backed by SoftBank Group Corp., General Atlantic and Sequoia, is already the world’s most valuable startup, according to researcher CB Insights. Some private trades recently valued the Chinese company between $105 billion and $110 billion on the secondary markets, Bloomberg News previously reported. It has also traded as high as $140 billion, one person said, making it one of the most highly valued private companies of all time.(Updates with Trump tweets in ninth paragraph.)For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
China's Tencent Holdings Ltd. (OTC: TCEHY) has committed nearly $70 billion for investment in the emerging technology sector in the country over the next five years, CNBC reported Tuesday.What Happened The WeChat parent company will invest in startups working with technologies like artificial intelligence and cloud computing, according to CNBC.Tencent's pledge comes at a time when the Chinese government has called on the business sector to advance "new infrastructure" as a way forward from the economic impact of the novel coronavirus (COVID-19) pandemic.The other projects in the new infrastructure plan include 5G mobile network technology and electric vehicles.China's Premier Li Keqiang on Friday announced that the government would issue nearly $140 billion in bonds to help fund some of these efforts, as reported by CNBC earlier.Tencent on Monday said it was also looking to raise up to $20 billion in a new bond offering to professional investors.Why It Matters The technology giant trails rivals Alibaba Group Holdings Ltd. (NYSE: BABA) and Baidu Inc. (NASDAQ: BIDU) in some of the emerging technology.Tencent's cloud subsidiary had only about 18% of the Chinese market share, compared to Alibaba's 46.4% at the end of the fourth quarter last year, according to data from research firm Canalys, reported by Reuters.Alibaba further committed nearly $28 billion towards cloud computing in April.Price Action Tencent stock closed 2.33% higher at $53.91 per share in the otc market on Tuesday.See more from Benzinga * Global Music Revenue Set To Double By 2030 Despite Pandemic Impact: Goldman Sachs Report * McDonald's, Starbucks, Subway Part Of China's Central Digital Currency Pilot: Report * Chinese Tech Giants Tencent, Baidu, Huawei, Others Part Of Country's National Blockchain Committee(C) 2020 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Chinese technology giant Tencent kicked off its offer of bonds worth up to $6 billion in Hong Kong on Wednesday, launching the sale even as riot police fired pepper spray to disperse protesters in the city's central business district. The deal is the biggest international offering by an Asian company this year and will be the first time the social media and gaming firm has offered ultra-long 40-year debt. Protests have returned to the streets of Chinese-ruled Hong Kong after Beijing proposed national security laws aimed at tackling secession, subversion and terrorist activities.
Turning to another tech spat, Japan appears to be on the losing side as South Korea develops its own chipmaking solutions (Mercedes’ Top 10). In India, the coronavirus pandemic has infected ride-hailing services, with both Uber and Ola slashing their workforces. This is just a snapshot of all that’s happening in Asia.
(Bloomberg) -- New Ruipeng Pet Healthcare Group Co. is seeking to raise funds at a valuation of about $3 billion ahead of its planned initial public offering, people with knowledge of the matter said.The Hillhouse Capital-backed pet clinic operator is working with an adviser to raise about $300 million in the pre-IPO round, according to the people, who asked not to be identified as the information is private. New Ruipeng, based in Shenzhen, has approached potential investors including Tencent Holdings Ltd., which could invest about $50 million, the people said.Hillhouse, which was also an early backer of Tencent, was planning an IPO of some of its animal hospital assets that could raise at least $500 million, Bloomberg News reported last year. New Ruipeng was created in 2019 after Hillhouse consolidated its animal healthcare assets in China. The original Ruipeng was founded in 1998.The company operates more than 1,300 pet clinics across China, according to its website. Its other services for pets include beauty salons and online diagnosis assessment platforms. New Ruipeng aims to grow its number of clinics to about 5,000 in three years, the company said in a press release in April.Wealthy Chinese consumers are spending more than ever adopting and caring for pets in a local market that consultancy and research firm Frost & Sullivan expects will more than double to 472 billion yuan ($66 billion) by 2023.Deliberations are at an early stage and details of the fundraising including size could still change, the people said. Representatives for Hillhouse and Tencent declined to comment, while representatives for New Ruipeng didn’t immediately respond to requests for comment.For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
(Bloomberg) -- Tencent Holdings Ltd. is marketing its first dollar bond deal in more than a year, joining a growing band of Chinese borrowers in a recovering offshore debt market.The Wechat operator is offering a four-tranche deal Wednesday, drawing down from its existing global medium term notes program, according to people familiar with the matter, who are not authorized to speak publicly. The deal includes its first potential 40-year dollar note, the longest tenor by Tencent, Bloomberg-compiled data show.The Chinese social media giant is raising funds for debt refinancing and general corporate purposes, the people said. The company didn’t immediately respond to an emailed request for comment.Higher quality Chinese borrowers have flocked back to borrow offshore after a March sell-off roiled markets and saw issuance dry up. Strong appetite boosted orders of Chinese dollar bonds to seven times their issuance size in April, with Baidu Inc. raising $1 billion and Xiaomi Corp. selling its debut dollar bond.As U.S. treasury yields “remain near historical lows and the curve remains pretty flat, it makes sense for corporate to secure long capital at low cost,” said Angus To, Hong Kong-based deputy head of research at ICBC International Holdings. Tencent’s initial price targets are fair considering the new issue discount, he said.Final pricing could tighten further given the solid market sentiment toward investment grade names, he added.Tencent’s deal also comes as Hong Kong protesters prepare for what could be their biggest day of unrest in months against China’s increasing control over the city. Hong Kong police has deployed a large number of officers downtown to deter demonstrations.The appeal of attractive borrowing costs aside, China’s largest Internet firms remain hungry for cash as they increasingly expand beyond their comfort zones and wade onto each other’s turf, an expensive exercise that mirrors Silicon Valley’s evolution of years ago.Tencent received a $6 billion foreign bond sale quota from China’s top economic planning agency, Bloomberg reported on Tuesday, citing people familiar with the matter. The firm may not use the full quota for their issuance, they said.For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
Tencent (OTC: TCEHY), the Chinese technology company behind popular messaging app WeChat, is gearing up to spend $70 billion over the next five yeas on technology infrastructure in an effort to diversify its business. With internet growth slowing in China and with companies moving more of their data to the cloud, Tencent is looking to expand beyond messaging and internet games. With stay-at-home orders in place earlier in the year in China and other parts of Asia, Tencent's online gaming sales jumped 31% year-over-year in the first quarter, while WeChat monthly active users increased 8.2% to 1.2 billion.
Moody's Investors Service has assigned an A1 senior unsecured rating to Tencent Holdings Limited's proposed medium-term notes drawn under its USD20 billion global MTN program. "The proposed notes will further enhance Tencent's already strong liquidity position, and enable it to sustain steady growth in revenue and cash flow," says Lina Choi, a Moody's Senior Vice President.
It might seem as if things couldn't get worse for Luckin Coffee (NASDAQ: LK). In early May, after its chief operating officer and other associated employees resigned amid allegations of fabricating meaningful amounts of Luckin's sales, Luckin's stock plunged and was subsequently halted for several weeks. During the trading halt, Luckin's CEO was later fired as well, as apparently a deeper malfeasance was discovered at the company in the meantime.
With Chinese stocks under fire these days, it's unclear exactly what effect the renewed U.S.-China tensions may have on their ultimate valuations. While many Chinese tech stocks have sold off after the scandal involving Luckin Coffee and the Senate's passage of the Hold Foreign Companies Accountable Act, it's entirely possible these distractions have opened up an opportunity in high-quality Chinese companies.
China's health tracking QR codes, which have played a key part in the country's successful containment of the coronavirus, now look set to play a much broader role in daily life as local authorities dream up new uses for the technology. To walk around freely, people in China must have a green rating and since February they have been asked to present their health QR codes to gain entry into restaurants, parks and other venues. Or that was the case until the eastern city of Hangzhou proposed on Friday permanently assigning each of its residents a coloured health badge and giving them a score from 0-100 based on their medical records and lifestyle habits.
The Chinese tech giant will overcome its near-term challenges and generate even bigger returns over the next few decades.
(Bloomberg) -- Meituan Dianping founder Wang Xing’s fortune has nearly doubled since his company emerged from the depths of China’s Covid-19 lockdown, cementing his place among a generation of the country’s most prominent tech entrepreneurs.Meituan’s stock climbed 10.4% on Tuesday after it reported better than expected revenue, driving its market value past $100 billion for the first time and stoking hopes the world’s largest meal delivery business will bounce back as China regains its footing. Based on his 11.3% slice of the company, the chief executive officer’s wealth has soared since Meituan plumbed a low on March 19 to about $10.3 billion as of Tuesday.Backed by Tencent Holdings Ltd., Meituan’s sprawling services from food delivery to hotel booking helped establish the company as one of a coterie of upstart challengers to incumbent tech leaders, Alibaba Group Holding Ltd. and Tencent itself. Meituan’s businesses -- among the most vulnerable to a nationwide shutdown -- began to climb out of a trough in April and May, offsetting slumps in harder-hit areas such as hotels. As of March’s final week, more than 70% of restaurants surveyed had recovered over half their normal order volumes, while 30% had exceeded pre-pandemic levels, Wang told analysts on a call Monday.Wang relied on deals and expansion to turn what started as a Groupon-type service into a food delivery giant that now also spans food reviews and in-store dining services. A computer engineer by training, Wang -- whose role model is Amazon.com Inc. founder Jeff Bezos -- is putting growth ahead of the bottom line to secure Meituan’s place among China’s pantheon of tech giants. He’s part of a new generation of up-and-comers, along with fellow billionaires like ByteDance Ltd.’s Zhang Yiming and Didi Chuxing’s Cheng Wei.“Looking into the next three quarters, we believe there will still be challenges as there are still uncertainties and potential downside from the ongoing evolution of the COVID-19 situation,” Wang said on the call. “Meanwhile, a large number of local service merchants are still struggling for survival. Short-term profitability is not our top priority.”Read more: The Greatest Delivery Empire on Earth Has Alibaba’s AttentionMeituan’s stock surge came after it reported better-than-expected sales of 16.8 billion yuan ($2.4 billion) in the three months ended March. Morgan Stanley and CICC were among the brokerages that subsequently lifted their targets on the company, citing resilience across business lines and easing competition.“COVID-19 had a negative impact on Meituan but results beat on top-line and bottom line by a wide margin,” Bernstein analysts led by David Dai wrote. In food delivery, the “long run potential is still there and the profitability level can be much higher” after the company pushes advertising, they added.Longer term, the internet services giant will have to grapple with China’s worsening economy, which may further dent consumer spending. Subsidies and measures to help restaurants and merchants during the outbreak will again pressure profitability in the June quarter, executives said. Meituan reported a lower-than-projected net loss of 1.58 billion yuan, but that was after three successive quarters of profit.What Bloomberg Intelligence SaysMeituan’s near-term growth may weaken as its in-store dining, hotel and travel businesses take time to fully recover from China’s coronavirus outbreak. Operating efficiency will likely improve in the longer term as the company expands its market-leading scale and competition with Alibaba moderates. Broadening service categories and providing technology solutions for merchants will aid sales and profit growth.\- Vey-Sern Ling and Tiffany Tam, analystsClick here for the research.Before the outbreak, Meituan had pushed aggressively into adjacent arenas from online travel to ride-hailing. While revenue from the business that encompasses hotels and travel plunged 31% during the March quarter, Meituan’s much smaller new initiatives segment -- which includes bike- and car-hailing -- grew sales 4.9%, aided by the launch of a new grocery delivery service. Hotels remained hardest-hit: in the week of May 11, domestic room nights were at about 70% pre-pandemic levels.While Meituan is expanding offerings to sell things like handsets and farm produce, rivals including Ant Group and SF Express, both backed by Alibaba Group Holding Ltd., are elbowing their way into Meituan’s core takeout business. Alibaba’s food-delivery arm Ele.me is also engaging in a subsidy battle with the startup for market leadership.For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
China's health tracking QR codes, which have played a key part in the country's successful containment of the coronavirus, now look set to play a much broader role in daily life as local authorities dream up new uses for the technology. Embedded in the popular WeChat and Alipay smartphone apps, the codes use self-reported and automatically collected travel and medical data to give people a red, yellow or green rating indicating the likelihood of having the virus. To walk around freely, people in China must have a green rating and since February they have been asked to present their health QR codes to gain entry into restaurants, parks and other venues.
(Bloomberg) -- Tencent Holdings Ltd. is buying a 20% stake in Japan’s Marvelous Inc., giving the smaller company capital to develop its game franchises and sending its shares soaring.China’s biggest game company, through affiliate Image Frame Investment, will spend about 7 billion yen ($65 million) to buy stock in the company, the Japanese games maker said in a statement. Marvelous will sell 8.62 million new shares for 576 yen apiece, while shareholders Amuse Capital and Nakayama Hayao will sell 2.83 million and 708,600 shares respectively at the same price.Marvelous plans to use the money to build out its existing game franchises and launch new ones over the next three years. Its current titles include Story of Seasons and Deamon X Machina. Shares popped 17%.Tencent has been one of China’s most aggressive overseas investors, backing everything from technology startups to coffee-and-donuts chain Tim Hortons Inc. Among game developers, Tencent has taken stakes in Epic Games Inc., the North Carolina-based company behind Fortnite, and South Korean studio Bluehole, which fostered PlayerUnknown’s Battlegrounds.“Tencent’s reason for the investment is probably to learn how to make console games from Japanese companies, one of the last frontiers for the Chinese tech company’s game business,” said Hideki Yasuda, an analyst at Ace Research Institute. “The investment will help Marvelous ride through the period of global economic uncertainty, and release more of its domestically-popular titles to the Western market.”Tencent and Marvelous have already been working together, with the Chinese company making a game with the Story of Seasons intellectual property. Marvelous said it decided to expand the relationship so it could invest more in its games, launch new initiatives and expand globally.Marvelous said it expects Covid-19 and fifth-generation wireless services will serve as catalysts to bring changes to the game industry. Gamers will demand more from each title, requiring companies to step up their efforts.(Updates with shares from first paragraph)For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
Chinese tech giant Tencent Holdings <0700.HK> will invest 500 billion yuan ($70 billion) over the next five years in technology infrastructure including cloud computing, artificial intelligence and cybersecurity, the company said Tuesday. The announcement comes after call by Beijing last month for a tech-driven structural upgrade of the world's second-largest economy through investment in "new infrastructure" and a boom in demand for business software and cloud services. Other key sectors of the investment include blockchain, servers, big data centres, supercomputer centres, internet of things operating systems, 5G networks and quantum computing, Dowson Tong, senior executive vice president of Tencent, told state media in an interview.
Lending money can be a risky business, especially when the global economy is heading into recession. More importantly, the four-year-old company’s record performance comes just weeks after Chinese technology giant Tencent bought a 5 per cent stake for $300m. Both Tencent and its main competitor, Alibaba’s Ant Financial, are refining their fintech strategies, and both see immense promise in BNPL.
Shares in Japan's Marvelous Inc on Tuesday closed up 17% at their daily limit of 682 yen after the games maker announced China's Tencent Holdings Ltd would take a 20% stake. Tencent will spend around 7 billion yen ($65 million) acquiring shares from Marvelous and its largest shareholders, Amuse Capital and its chief executive, Hayao Nakayama, a former Sega executive whose son founded Marvelous.
(Bloomberg) -- Meituan Dianping’s shares soared after it reported a smaller than expected 13% slide in revenue that drove hopes the world’s largest meal delivery business is starting to recover as China emerges from Covid-19 lockdowns.Its shares climbed as much as 9.7%, extending strong gains since China began to return to normal in mid-March and propelling Meituan’s market value to more than $100 billion. That surge came after Meituan reported better-than-expected sales of 16.8 billion yuan ($2.4 billion) in the three months ended March. Morgan Stanley and CICC were among the brokerages that lifted their targets on Meituan, citing resilience across business lines and easing competition.Backed by Tencent Holdings Ltd., Meituan’s sprawling services from food delivery to in-store dining and hotel booking were among the most vulnerable to nationwide shutdowns. But its businesses had begun to climb out of the trough, offsetting severe slumps in areas such as hotels, executives told analysts on a Monday conference call. As of March’s final week, more than 70% of restaurants surveyed had recovered more than half their normal order volumes, while 30% had exceeded pre-pandemic levels, Chief Executive Officer Wang Xing said.“COVID-19 had a negative impact on Meituan but results beat on top-line and bottom line by a wide margin,” Bernstein analysts led by David Dai wrote. In food delivery, the “long run potential is still there and the profitability level can be much higher” after the company pushes advertising, they added.Longer term, the internet services giant will have to grapple with China’s worsening economy, which may further dent consumer spending. Subsidies and measures to help restaurants and merchants during the outbreak will again pressure profitability in the June quarter, executives said.Meituan reported a lower-than-projected net loss of 1.58 billion yuan, but that was after three successive quarters of profit.“Looking into the next three quarters, we believe there will still be challenges as there are still uncertainties and potential downside from the ongoing evolution of the COVID-19 situation,” Wang said on the call. “Meanwhile, a large number of local service merchants are still struggling for survival. Short-term profitability is not our top priority.”What Bloomberg Intelligence SaysMeituan’s near-term growth may weaken as its in-store dining, hotel and travel businesses take time to fully recover from China’s coronavirus outbreak. Operating efficiency will likely improve in the longer term as the company expands its market-leading scale and competition with Alibaba moderates. Broadening service categories and providing technology solutions for merchants will aid sales and profit growth.\- Vey-Sern Ling and Tiffany Tam, analystsClick here for the research.Before the outbreak, Meituan had pushed aggressively into adjacent arenas from online travel to ride-hailing. While revenue from the business that encompasses hotels and travel plunged 31% plunge during the March quarter, Meituan’s much smaller new initiatives segment -- which includes bike- and car-hailing -- grew sales 4.9%, aided by the launch of a new grocery delivery service. Hotels remained hardest-hit: in the week of May 11, domestic room nights were at about 70% pre-pandemic levels.While Meituan is expanding offerings to sell things like handsets and farm produce, rivals including Ant Group and SF Express, both backed by Alibaba Group Holding Ltd., are elbowing their way into Meituan’s core takeout business. Alibaba’s food-delivery arm Ele.me is also engaging in a subsidy battle with the startup for market leadership.(Updates with target increases by brokerages in second paragraph)For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
Meituan's shares hit a record high on Tuesday, bringing its valuation to over $100 billion. The Hong Kong-listed giant, which focuses on food delivery with smaller segments in travel and transportation, is the third Chinese firm to reach the landmark valuation. Tencent-backed Meituan saw shares rally to HK$138 ($17.8) on Tuesday after it earmarked a smaller-than-projected decrease in revenue during Q1 and a net loss of 1.58 billion yuan ($220 million) after three consecutive profitable quarters.
Chinese social media and gaming giant Tencent Holdings is testing the market's appetite for a U.S. dollar bond deal it plans to offer, according to a term sheet reviewed by Reuters. The company said in a statement on Monday it planned to conduct an international offering of notes under a programme to certain professional investors and would use the proceeds raised for general corporate purposes. The limit means future deals for Tencent would have to be under $8 billion.