Shares of Snap Inc. bounced to pare earlier sharp losses in premarket trade Wednesday, as the social media company’s disclosure that Tencent Holdings Ltd. took a large stake helped offset disappointing third-quarter results. The stock was down 9.1% in active premarket trade, but was down as much as 21.4% earlier. Volume was 7.8 million shares about two hours before the open, making it the most actively traded stock in the premarket. The Snapchat parent said in its quarterly filing with the SEC that Chinese technology giant Tencent and its affiliates acquired in November about 145.8 million Class A Snap shares, which represents about 17% of the Class A shares outstanding, or about 12% of the total shares outstanding. That would be enough to make Tencent the largest shareholder. Late Tuesday, Snap’s stock plunged reported a wider-than-expected loss and revenue that rose less than expected. Snap’s stock had closed Tuesday at $15.12, or down 38% from its first day of trade on March 2, and 11% below its IPO price of $17. In comparison, the Renaissance IPO ETF had gained 22% from March 2 through Tuesday, while the S&P 500 had climbed 8.8%.
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