Douyu Falls on Repot That Tencent Take Private Speculation Isn't True
Seeking Alpha2022-01-28
- DouYu(NASDAQ:DOYU)dropped 7%in premarket trading after a report that yesterday's article that Tencent may be planning to take the streaming video gaming service private is false.
- A person close to Tencent said that the Reuters report on Tencent isn't true, according to a 36Kr report.
- Shares of DouYu (DOYU)surged 14%on report that Tencent, which owns about a third of DOYU, plans to take the Chinese videogame streaming service private this year amid disagreements over strategy among executives.
- The Reuters report comes after China blocked Huya's(NYSE:HUYA)planned $6B acquisition of DOYU in early July. China's State Administration for Market Regulation said it blocked the planned deal because it would restrict competition in the video game-streaming market in China
- Last month, DouYu co-CEO Wenming Zhangsteps down.
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