Tencent Sells 14% Stake in Tide

Tencent, the Chinese tech conglomerate, has divested its 14% stake in the UK-based business banking platform Tide, marking a significant retreat from its overseas investment strategy. The stake was sold to an undisclosed buyer in April, coinciding with Tide's recent secondary share sale that allowed early investors to liquidate their holdings. Tencent's investment in Tide is part of its broader history of backing UK fintechs, but the company has reduced its foreign investments substantially, with deal values plummeting from $20 billion in 2018 to $6 billion in 2023. Tide serves approximately 575,000 small and medium-sized businesses across the UK, India, and Germany, and raised $100 million in Series C funding in 2021. The recent sale reflects the changing landscape of global investment amid economic uncertainties and a more cautious approach from Tencent. The identity of the new stake owner remains unknown as the dynamics of tech startup investments evolve, with secondary sales becoming increasingly common.