Summary:
- Matthews International Capital Management sold 106,055 shares of Sea Limited in Q3 2025, amounting to an $18.17 million trade.
- The fund’s position in Sea Limited was valued at $38.11 million at quarter-end, making it the second-largest holding.
- Sea Limited operates in digital entertainment, e-commerce, and digital financial services, with a significant presence in Southeast Asia and other international markets.
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On October 16, 2025, Matthews International Capital Management made a significant move by selling 106,055 shares of Sea Limited during the third quarter of that year. This transaction was valued at approximately $18.17 million, based on the average pricing for Q3 2025. The disclosure, made through a filing with the Securities and Exchange Commission, revealed that the fund’s position in Sea Limited amounted to 213,226 shares as of September 30, 2025, with a total value of $38.11 million.
Despite reducing its stake in Sea Limited to 8.87% of 13F AUM, the company remained the fund’s second-largest holding. Matthews International Capital Management’s top holdings following the filing included PDD Holdings, Legend Biotech, Trip.com Group, and Kanzhun. Sea Limited’s stock price on October 16, 2025, stood at $162.65, marking a 63.68% increase over the past year, outperforming the S&P 500 by a significant margin.
Sea Limited, headquartered in Singapore, operates in three primary segments: digital entertainment, e-commerce, and digital financial services. With a customer base spanning Southeast Asia, Latin America, and other international markets, the company offers a range of digital solutions to consumers and small-to-medium businesses. Employing over 80,000 people worldwide, Sea Limited’s integrated ecosystem of gaming, e-commerce, and financial services provides diversified revenue streams and positions it as a leading digital platform company in the region.
In conclusion, despite Matthews International Capital Management’s strategic selling of Sea Limited shares, the company remains a crucial component of its portfolio. With strong growth metrics, including a 29% increase in sales over the last year and positive net income and free cash flow generation, Sea Limited continues to show promise as a growth stock. Trading at 41 times forward earnings, the company may appear slightly expensive, but its current performance suggests the potential for further valuation growth in the future.
