WeChat owner Tencent snapped up another 12% of Snap this month
Tencent, the owner of China’s messaging behemoth WeChat, was an investor in Snap when the company was still a startup going by the name of its flagship app, Snapchat.
Now, as Snap’s stock price buckles under the weight of slow user growth and missed revenue expectations, Tencent is deepening its hold on the company.
In a 10-Q SEC filing for its quarterly results that were announced yesterday, Snap disclosed that Tencent has acquired another 145,778,246 shares of Class A common stock in open-market trades, which works out to roughly 12 percent of the company.
This is non-voting stock, and so it means that we will not get much visibility from Tencent and Snap when and if these shareholdings change further, as they will not need to be reported to the SEC.