China's social media and video game behemoth Tencent surpassed Facebook in market value during Asian trading hours on Tuesday.
According to CNBC, Shenzhen-based Chinese entertainment giant became the first Asian technology firm to reach the $500 billion valuation mark outclassing social networking leader Facebook to be the world’s fifth-most valuable company.
Tencent reached the $500 billion valuation mark and outclassed social networking leader Facebook to be the world’s fifth-most valuable company.
The Chinese major’s shares touched a record high of 439.6 HKD (Hong Kong dollars) CNBC reported, giving it a market capitalisation of a whopping $534.5 billion against Facebook's $519.4 billion.
“Tencent’s high growth, as demonstrated by its quarterly results, has supported the rally in its shares,” Steven Leung, a sales director at UOB Kay Hian told Reuters. “Since the company has been able to deliver with its earnings, the stock is still worth holding onto despite its current high level.”
To recall, Tencent’s popular phone platform and messaging app WeChat is a driver where nearly one billion users play games, chat, post photos, play games, transfer money and pay for a variety of services in China.
The market movement however, has made the Chinese conglomerate one of the world's top five most valuable companies, albeit it is still far short of market leader and iPhone maker Apple which is currently valued at $873 billion.