(Bloomberg) — Tencent Holdings Ltd. is set to lose its place among the world’s 10 largest companies by market value, leaving no Chinese names in the list as Bejing’s regulatory crackdown continues to wreak havoc on the stock market.
Hong Kong-listed shares of the internet giant fell as much as 1.9% Thursday before paring some of that loss, with its market capitalization standing at about $552 billion as of 11:55 a.m. local time. That’s just below the value of U.S. chipmaker Nvidia Corp., according to data compiled by Bloomberg.
This would mark the first time that a Chinese company isn’t among the world’s 10 largest since 2017, Bloomberg-compiled data show. Tencent’s unseating follows that of Alibaba Group Holding Ltd. earlier this year, as China’s tech behemoths face tougher rules on everything from monopolistic practices to data security and kids’ gaming hours.
Tencent has lost about $390 billion in market value since its shares reached a record high in January. The Hang Seng Index is the world’s worst performer this month amid the clampdown, with Alibaba and Tencent the biggest drags.
There are no signs that the pain will end soon as the regulatory campaign continues to spread and deepen on nearly a daily basis. A gauge of Hong Kong-listed tech stocks extended declines to a fourth session Thursday.
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