This 'Unlocks Value' At 58.com, Pacific Crest Says - Tencent Holdings (OTC:TCEHY)

In a report published Wednesday, analyst Cheng Cheng of Pacific Crest Securities maintained an Overweight rating on 58.com Inc

Crypto Whales Are Loading Up — Are You?

New research shows the biggest crypto buyers are back. And this time? They could hold for the possibility that Bitcoin will surpass $100,000 in 2024. You don’t want to miss the next massive crypto bull run like we saw in 2020 and 2021. To know exactly what’s going on and what to buy… Get Access To Benzinga’s Best Crypto Research and Investments For Only $1.

ENTER TO WIN $500 IN STOCK OR CRYPTO

Enter your email and you'll also get Benzinga's ultimate morning update AND a free $30 gift card and more!

(NYSE: WUBA). The price target has been raised from $60 to $91. Following the acquisition of a 43 percent stake in Ganji, the competitive environment has improved for the company, as has the organizational focus.The investment in Ganji is expected to lead to cost synergies, along with improved focus for 58.com. The analysts expect the cost synergies to be mainly driven by reduced advertising and to be visible to a greater extent in 2016 and 2017 than in 2015."In addition, with competitive stabilization in 58.com's core online listing business, we expect increased focus and resources to be dedicated to 58Home, which we view as a large and expansionary opportunity for 58.com," Cheng stated.Pacific Crests expects 58.com to fully acquire Ganji at some point in the future, although the timing of full merger is uncertain. Not only is there an overlap between the shareholders of both companies, the two entities are also aligned from a financial perspective. In addition, the partnership with TENCENT HOLDINGS (OTC: TCEHY) is expected to lead to both traffic and monetization benefits.