At the end of this article, Telecom Operations sector Individual stocks list.
A news yesterday said that Unicom and Tencent established a joint venture, but Unicom hit the daily limit . What do you think about this? Is it a great benefit to both sides? Let’s talk about what aspects of cooperation between the two sides?
11 In the afternoon of November 2, a news from the State Administration for Market Regulation showed that the bureau unconditionally approved the plan to establish a new joint venture between China Unicom Venture Capital and Tencent Industrial Investment, and the review time is October 18.
China Unicom A shares hit the daily limit in the late trading. In terms of H shares, China Unicom rose slightly by 1.2%, and Tencent Holdings rose slightly by 1.41%.
Simply put, Unicom Venture Capital, Unicom Innovation and Venture Capital Co., Ltd. (Unicom Venture Capital) is a wholly-owned subsidiary established by China United Network Communications Co., Ltd. invested 200 million yuan. It focuses on the Internet and telecom value-added business directions, focusing on the Internet, mobile Internet, cloud computing , Internet of Things, e-commerce, culture and new media and has synergistic potential in business. It invests in excellent enterprises in the start-up stage and growth stage.
, while Tencent Industrial Investment was established in 2019. Its main business is venture capital, enterprise management consulting, and investment consulting. Its ultimate controller is Tencent Holdings Co., Ltd. .
Let’s talk about the content of cooperation. It is reported that China Unicom Venture Capital and Tencent Industrial Investment have established a new joint venture to mainly engage in content distribution network (CDN) and edge computing businesses. After the transaction is completed, China Unicom Venture Capital, Tencent Industrial Investment, and relevant employee stock ownership platforms will hold 48%, 42%, and 10% of the equity of the joint venture, respectively, and China Unicom Venture Capital and Tencent Industrial Investment jointly control the joint venture.
Why do they need to cooperate and what are their advantages?
One is a telecom giant and the other is a technology giant. The cooperation between these two companies can achieve complementary advantages and mutual benefit in terms of resources, and can share the digital value of the industry. As a telecom operator, it can consolidate the development base of digital economy and better empower traditional industries. Tencent has advantages in cloud computing and data centers.
Some people in the market are worried that China Unicom has acquired Tencent, and even WeChat will charge fees in the future. This is really naive. Tencent is a joint-stock company with shareholders all over the world. This time, the two parties cooperate to establish a new associate company, and their respective entities are still their own.
Let’s talk about China Unicom’s daily limit. To be honest, this is pure speculation. If there is good news, it will hit the daily limit. We found that China Unicom’s daily limit was hit, but China Unicom’s average H shares mean that the mature market does not buy it, because it is true that the positive news is true, but this is inflated. The stock price is indeed a bit domestic. So I advise retail investors to be unable to trade stocks like this. It is really not the logic. Therefore, it is not recommended to play like this when it comes to their stock price.
Regarding the cooperation between China Unicom and Tencent, Dong Ge commented on
1. It must be a long-term benefit to both parties. Both parties will give full play to their advantages and create a new world.
2. Don’t follow the speculation of such events. There are a high probability that you can’t get up. Just at 11 am when I was writing the article, Unicom’s stock price rose and fell
3. There are 10 companies in the telecommunications operation sector, and most of them are affected by this incident. The stock price has responded. However, Brother Dong wants to remind that some take the opportunity to ship, and the positive news may be negative. You can pay attention to it. Some of them have already increased by in October and have about 20% or more. There are high probability that they will be positive news, so don’t chase highs in this kind of event!
4. I have sorted out the telecommunications operation sector, including China Telecom , China Unicom, China Mobile, China Satellite Communications, Halo New Network , Data Port, Aofei Data , 263, Pengbo , online and offline. Please be careful not to hype these, and some of them need to be adjusted immediately!
