Goldman Sachs liquidates $10.5bn worth of stocks as Chinese firms’ delisting looms



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Goldman Sachs liquidates $10.5bn worth of stocks as Chinese firms’ delisting looms

As a part of a block-trade selling spree, New York City lender Goldman Sachs Group Inc. had sold off as many as $10.5 billion worth of stocks on Friday’s pre-market trading, erasing more than $35 billion in valuations of major companies, a Bloomberg News report published late on Saturday had unveiled citing unnamed banking source familiar with the transaction.

Besides, citing an email that Goldman had sent to its clients, the Bloomberg News report had also added that the lender had liquified $6.6 billion worth of shares of China’s Baidu Inc. and Tencent Music Entertainment Group alongside Vipshop Holding Ltd, while the latest Goldman Sachs move came days after US SEC (Securities and Exchange Commission) had initiated a process to delist Chinese companies that would not be able to comply with its auditing legislations.

Nonetheless, while being asked whether Goldman’s latest move to dump stocks of Chinese companies such as Baidu and Tencent had been linked to US SEC approach, the New York City-based lender had declined to comment over the Bloomberg News report.

Goldman Sachs liquidates $10.5 billion worth of stocks on Friday

Aside from that, the Bloomberg News report had quoted sources familiar with the transaction as saying that the leading US lender had also ditched out $3.9 billion worth of shares of Discovery Inc., ViacomCBS Inc, Farfetch Ltd., iQIYI Inc.

alongside GSX Techedu Inc., while a few transactions exceeded as many as $1 billon worth of shares in certain companies. More importantly, followed by Goldman Sachs’ mass-scale selling spree in pre-market trading on Friday, ViacomCBS and Discovery tumbled as much as 27 per cent, while US-listed shares of China’s Baidu and Tencent plunged 33.5 per cent and 48.5 per cent respectively this week.