Tencent Focuses On Majority Deals By Buying Overseas Gaming Assets For Growth
According to recent reports, Tencent has made a shift in its M&A strategy by focusing its attention on buying controlling shares in various overseas game companies. The company does this because it wants to expand globally. Read the full article to learn more about this news.
About the new strategy
“With respect to the games business, our strategy is…to focus on building our capabilities, particularly in the international market,” said James Mitchell, Chief Strategy Officer. “We will continue to be very active in terms of acquiring new game studios outside of China.” “We believe that Tencent will continue to make reasonable investments to acquire quality gaming content and talent and deepen its partnerships with leading studios around the world to intensify its investment and presence in overseas markets.” , Citi analysts said in a report in early September. Apart from this new strategy, the company is also developing and planning many other strategies to develop and increase its profits. One of them is that it will start to invest more in Southeast Asia as the population is huge which makes it a good breeding ground for any business. These strategies are extremely different from those the company follows in China. The reason for this is that regulations have become stricter in the country and the divestment of a group of domestic portfolio companies. Due to numerous rejections of game proposals from China, the company saw its revenue drop by 1%.
Tencent is a multinational corporation headquartered in China. It is a well-known company and its mission is to improve people’s lives through its services. These are essentially Internet solutions. Through his services, he wants to connect everything and help people lead a more convenient life by using his services. The company is one of the largest Internet companies in China. People like to work in this company because it has a good work culture and is known to pay its employees well. The company works on the principle of using technology for good. This principle is the basis of its existence and aims to make the best use of technology to make people’s lives easier. It also develops games and helps its users have an amazing digital experience. The company keeps coming up with creative and innovative games that make users want to play them again and again.