Date of Update: 03/23/2020

Tencent

Ticker: 700 HK

Theme: Broad-based

Country: China

Sector: Interactive Media & Services

Company Description:

Tencent, founded in Shenzhen in 1998, is China's largest gaming and social media company. The company's online games segment is the largest in the world by revenues, and its social media platform WeChat, features over 1.1 billion monthly active users. Tencent has an active investment portfolio, which includes various game companies, such as 100% of Riot Games (League of Legends) and 40% of Epic Games (Fortnite).

3 Company Facts:

  • In February 2011, Tencent paid $400 million for a 93 percent stake in Riot Games. Riot Games publishes League of Legends, the world's most popular PC game.1
  • Tencent is the largest company in the world by games revenues.2
  • Tencent owns stakes in several games companies, including: Riot Games, Epic Games, Bluehole, Ubisoft, Activision Blizzard, Supercell, Funcom, and Frontier.3

3 Industry Facts:

  • China is the world's largest games market, generating over $36 billion in revenues for 2019.4
  • China is the global leader in esports, both in terms of viewership and monetization.5
  • China is home to over 850 million smartphone users, accounting for an approximate 60% penetration rate.6

Related Companies: NetEase

3 Key Company Drivers:

  • Online games revenues
  • WeChat monthly active users
  • Investment portfolio

Notable Brands:

Free Fire logo
Riot Games, League of Legends
Garena logo
Epic Games, Fortnite
Call Duty Mobile logo
WeChat, messaging service
Shopee logo
Supercell, Clash of Clans