Nomura: maintain Tencent Holdings "buy" rating target price of HK $420

The bank believes that the cooperation with China Unicom and other state-owned enterprises makes it easier for Tencent Cloud to invest in China's IT industry assets.

Recently, it was disclosed that China Unicom and Tencent Venture Capital, a subsidiary of Tencent Cloud, have established a joint venture, which will cooperate to expand distribution networks and edge computing services. Unicom and Tencent hold 48% and 42% of the shares.