Tencent to distribute $20.3 bln Meituan stake, as Q3 sales drop

HONG KONG: Tencent Holdings said on Wednesday it would distribute its $20.3 billion stake in food delivery firm Meituan in dividend, as it reported a second straight quarterly sales drop, hit by economic slowdown and China’s regulatory crackdown.

The divestment plan, which Reuters reported in August, comes as the Shenzhen-based tech giant retrenches, shutting some unprofitable businesses and laying off staff in a bid to return to growth.