ShareChat dials up China s Tencent to raise $200 million in funding
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Synopsis
Twitter-backed ShareChat, which operates TikTok s Indian rival Moj, may choose to route the funding via a Europe-based entity to avoid the China investment tag, in light of India s tightened FDI policy.
Agencies
The significant financial investment could at a later stage entail a change in management control of ShareChat.
Twitter-backed homegrown social media platform ShareChat is in talks with Chinese technology giant Tencent to raise $200 million through optionally convertible debentures, sources told ET.
The funding is likely to be routed via a Europe-based entity to avoid the China investment tag, in light of tightened foreign direct investment norms which the government put in place last year following an escalating border conflict with the northern neighbour.
India had revised its FDI policy in a bid to check Chinese investments in India. (Representative image)
NEW DELHI: China on Wednesday expressed its “deep concern” over the recent foreign direct investment (FDI) policy changes initiated by the government, alleging that it curbs takeovers and acquisitions of Indian companies.
In April, India had decided to review every FDI proposal from a neighbouring country, a move that was targeted at Chinese investment in India.
The statement came during India’s trade policy review at the World Trade Organization (WTO), where the US and the European Union flagged trade barriers, especially recent increase in import duties, as key concerns, sources said.