(Yicai) March 22 -- Tencent Holdings, the second-biggest shareholder in Reddit, has scored a book profit of more than USD600 million after the US social media platform’s stock soared 48 percent on its first day of trading in New York.

Tencent spent USD150 million to buy 4.3 million Class A and 11.1 million Class B shares of Reddit in 2019, giving the Chinese internet giant an 11 percent stake. The stock is now worth USD777 million.

Reddit [NYSE: RDDT] listed 22 million shares on the New York Stock Exchange yesterday, raising USD748 million. They closed at USD50.44 each, after earlier surging by as much as 65 percent, giving the San Francisco-based company a market value in excess of USD8 billion.

US publishing titan Advance Publications is Reddit's biggest shareholder, with a 33.5 percent stake. Sam Altman, chief executive of ChatGPT creator OpenAI, is third with an 8.7 percent holding.

Set up by Alexis Ohanian and Steve Huffman in 2005, Reddit has developed into a major community forum in the United States. At the end of last year, it had more than 100,000 active communities, 73 million daily active users, and more than one billion posts, according to its initial public offering prospectus.

Reddit's net loss shrank 43 percent to USD90.8 million in the 12 months ended Dec. 31 from a year earlier, while revenue jumped 21 percent to USD804 million. The company turned its first quarterly profit in the final three months of last year.

Editor: Martin Kadiev