American Express is set to partner with Tencent Holdings to develop a way for users of Tencent’s online payments service to buy goods outside of China.
Tencent is China’s biggest Internet company by revenue, faces competition from Alibaba and Baidu in processing online payments for consumers in China. American Express said this month it is looking to expand in emerging markets through acquisitions. Financial details were not disclosed.
American Express (NYSE:AXP) has a potential upside of 20.6% based on a current price of $47.87 and an average consensus analyst price target of $57.72.