The Business Times
business-time-50

TikTok-GoTo partnership takes away Indonesian group’s burden, pressures Sea: analysts

google-preferred-sourceAdd BT as a preferred source
Mia Pei

Mia Pei

Published Tue, Dec 12, 2023 · 12:17 PM
    • Sea is likely to register lower earnings as Shopee is expected to suffer greater losses in the intensified e-commerce competition.
    • Sea is likely to register lower earnings as Shopee is expected to suffer greater losses in the intensified e-commerce competition. PHOTO: REUTERS

    THE partnership between TikTok and GoTo will hurt Sea’s margin, but relieve the Indonesian tech giant’s cash-burning burden, said analysts on Monday (Dec 11).

    DBS Group Research has slashed the target price for Shopee owner Sea to US$42 from US$62 with a downgrade to “hold” from “buy”.

    This was following the deal announcement, as the research house expects Shopee to suffer greater losses amid heightened competition in e-commerce space.

    TikTokGoTo GroupSea LtdShopee

    TRENDING NOW

    Traffic through the strait has been resuming but with interruptions, and there is still little clarity over a permanent solution for passages through the chokepoint.

    Qatari LNG ship struck in Strait of Hormuz, testing US talks

    This comes after a Citi note on Tuesday that lifted target prices for all Singapore banks, with a leading preference and “buy” call for DBS.

    DBS, OCBC and UOB shares hit all-time highs as sentiment improves

    Aster deputy CEO Andre Khor, citing the age of the “polycrisis”, says: “It’s very important to be agile, to be focused on execution… We don’t know all the answers but we keep going forward.”

    ‘Baptism of fire’: Andre Khor on leading Singapore refiner Aster through an energy crisis

    Singapore ranks as the world’s most expensive city for cars and placed third globally for residential property.

    Singapore retains top spot as most expensive city for HNWIs, with five Apac cities in global top 10

    Latest T-bills Treasury Bills Results & Interest NewsLatest SSB Singapore Savings Bonds NewsLatest COE Certificate of Entitlement News
    Latest Johor-Singapore SEZ NewsLatest BTO Build To Order & Sales of Balance NewsLatest STI Straits Times Index NewsLatest SGX Dividends, Share Price NewsLatest Bonds Market NewsLatest Singapore Stocks To Buy NewsLatest Singapore Economy News
    View More