Chinese tech giant Tencent Holdings (OTC:TCEHY) has successfully raised 9 billion yuan ($1.27 billion) through an offshore yuan bond deal.
Tencent Closes Yuan Bond Deal, Signals Cautious AI Spending
Tencent, a leader in the Chinese gaming and social media industry, announced the successful completion of a three-tranche offshore yuan bond deal on Wednesday, Reuters reported.
The company launched bonds with 5-, 10-, and 30-year maturities. The 5-year bond generated 2 billion yuan at 2.1%, the 10-year bond raised 6 billion yuan at 2.5%, and the 30-year bond brought in 1 billion yuan at 3.1%. Final pricing tightened by roughly 50 basis points compared with the initial proposal when the offering began on Tuesday.
Tencent Q2 Revenue Climbed Amid Gaming, AI Growth
Tencent's Q2 revenues rose 15% year-on-year to 184.5 billion yuan ($25.7 billion), driven by gaming and AI, while net profit increased 11% to 63.1 billion yuan ($8.79 billion).
Tencent and other tech giants have been investing heavily in AI, but its capital spending has recently decreased. In August, the company told analysts it plans a more cautious approach going forward, emphasizing sustainable monetization of its AI projects and “smart spending.”
Meanwhile, in July 2025, Sony Group Corp. (NYSE:SONY) filed a federal lawsuit against Tencent, accusing it of copying its popular "Horizon" video game series with its upcoming game, “Light of Motiram”. This lawsuit could have potentially affected Tencent’s financial stability and reputation.
READ NEXT:
Photo Courtesy: Tada Images on Shutterstock
Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
