Prosus Exits Trip.com Stake in US$743 Million Block Trade Amid E-Commerce Shifts
Prosus Completes Block Trade in Trip.com
Internet investing firm Prosus NV has fully cut its stake in *Chinese* online travel agency company Trip.com in a US$743 million block trade, according to people familiar with the matter, becoming the latest international investor to exit a Chinese tech company.
Details of the Trade
- Prosus sold 14.5 million shares in Trip.com at US$51.40 each.
- The block trade was launched on Tuesday night in the US.
- This deal signifies Prosus’s final exit after gradually selling shares over the summer.
Market Context
Prosus's action follows Walmart's decision to unwind its eight-year partnership with JD.com Inc., selling its entire holding for US$3.6 billion. Furthermore, Chinese and Hong Kong stocks rallied after a wide-ranging stimulus package from China aimed at reviving the country’s economic growth.
Impact on the Industry
The Chinese market has faced challenges from deflationary pressures, an entrenched real estate crisis, and a decline in international investors’ confidence in Beijing. In addition, Naspers Ltd., affiliated with Prosus, has been reducing its stake in Tencent Holdings Ltd., which had been historically beneficial since its initial investment in 2001.
This article was prepared using information from open sources in accordance with the principles of Ethical Policy. The editorial team is not responsible for absolute accuracy, as it relies on data from the sources referenced.