Chinese companies against the background of the latest regulatory initiatives Beijing continue to lose capitalization. As a result, for the first time since 2017, not a single Chinese left in the top ten largest companies, Bloomberg writes.
The last of the list fell Tencent Holding. During the trading session on Thursday, September 16, the company’s shares fell 1.3 percent to 57.52 dollars. As a result, she fell to $ 558.5 billion and missed the American NVIDIA forward.
Previously, Top-10 left Alibaba, together with Tencent, she became the main victim from the actions of the Chinese authorities, and the attack began on it. In November last year, Beijing stopped the primary placement of Ant Group shares, Alibaba’s “daughters”, against the background of a number of careless statements by the head of the head company Jack Ma.
Following this, the wider prosecution of technological giants followed. Shares Tencent began to fall after the start of criticizing online games in the state-owned media started in early August. Soon, Beijing limited to three hours a week during which children can spend the games.
This week, the authorities demanded from the largest companies, including from Alibaba and Tencent, to abandon the prohibitions to use competitors’ products on their sites. Immediately after that, on the Hong Kong Stock Exchange, Alibaba fell by 4.23 percent, and Tencent is 2.45 percent.
On changing attitudes towards large companies, the head of the PRC of SI JIGPIN announced in mid-August. He called for “reasonable adjustment of excessive income”, which in practice means the requirement to invest in government infrastructure projects.