Investing.com - Hong Kong-listed gaming giant Tencent Holdings (HK:0700) might fire or demote 10% of its lowest-performing general managers, Bloomberg reported on Tuesday citing people familiar with the matter.
The move is due to “cooling growth and intensified competition,” the article noted, adding that the company is also concerned about trade tensions between the U.S. and China, and regulatory clampdowns.
Shares in gaming companies, including Tencent, were dragged down and saw billions of dollars wiped off their market value last year as China halted its gaming approval process amid growing criticism of games for being violent and addictive for young people in the country.
Tencent’s stocks recovered this year after Beijing resumed the game approval process in December.
Shares of the company last traded at HK$368.4, down 0.4%.
The gaming giant is scheduled to report its fourth-quarter and annual results after markets close on Thursday.