Tencent has been negotiating business cooperation and potential investment with MySQUAR, a social network site in Myanmar, the Sunday Times Newspaper reported Sunday.
However, Tencent has not yet made a formal offer, according to Asia-based bankers cited by the report.
MySQUAR, the Myanmar-based company that owns a messaging app and online games, did not perform well after floating on London's AIM market in 2015.
It shares have dropped from 10 pounds (.57) to 2.15 pounds, the report noted.
Tencent declined to comment on the cooperation when reached by the Global Times.