Tencent says Meituan stake-sale report is 'not accurate'

Chinese social media behemoth Tencent Holdings Ltd’s Chief Strategy Officer James Mitchell on Wednesday said a report that the company intends to sell all or much of its $24 billion stake in food delivery giant Meituan was incorrect.

A report from Reuters on Tuesday, citing four sources with knowledge of the matter, said that Tencent has engaged financial advisers in recent months on ways to sell a roughly 17% stake to appease regulators in Beijing that have been working to curb the influence of tech giants.

The report “is not accurate,” Mitchell told analysts on a post-earnings conference call.

Since last year Tencent has been disclosing plans to sell stakes in e-commerce giant JD.com Inc, as Beijing punishes the country’s tech giants for anti-competitive behavior, including maintaining closed ecosystems.