DouYu jumps on report that Tencent wants to take streaming co. private this year
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DouYu (NASDAQ:DOYU)
soared 10% in premarket trading on a report that part owner Tencent (OTCPK:TCEHY) plans to take the Chinese videogame streaming service private this year.
Tencent is said to looking to partner with at least one private equity firm for a possible takeout and is currently talking to an investment bank, according to a Reuters report.

The report comes after China blocked Huya's (NYSE:HUYA) planned $6B acquisition of DouYu (DOYU) in early July. China's State Administration for Market Regulation said it blocked the planned deal because it would restrict competition in the video game-streaming market in China.
The DOYU/HUA deal would have combined two videogame-streaming leaders into a Chinese streaming forerunner like Amazon's (NASDAQ:AMZN) Twitch - with Tencent in a catbird seat (It's the biggest shareholder in Huya, and owns about a third of DouYu).
Last month, DouYu co-CEO Wenming Zhang steps down.