By Yantoultra Ngui
SINGAPORE, July 6 (Reuters) – Tencent Mobility, a unit of Tencent Holdings, is seeking to raise up to $1.55 billion by selling shares in Chinese short-video company Kuaishou Technology, according to a term sheet seen by Reuters on Monday.
Here are more details from the term sheet:
• The Tencent unit is offering about 273 million Kuaishou Class B shares at HK$43.15 ($5.50) to HK $44.53 each. The range values the sale at about $1.50 billion to $1.55 billion.
• The offer price represents a discount of about 3.2% to 6.2% to Kuaishou’s last close of HK$46.00 on Monday.
• The sale is fully secondary, meaning Kuaishou will not receive any money from the deal. Tencent Mobility will receive the proceeds.
• The deal is expected to price on Monday, trade on Tuesday and settle on Thursday.
• Kuaishou runs one of China’s major short-video and livestreaming platforms, according to its website.
• Tencent and Kuaishou did not immediately respond to Reuters requests for comment sent outside regular business hours.
($1 = 7.8428 Hong Kong dollars)
(Reporting by Yantoultra Ngui; Editing by Joe Bavier)
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