(Bloomberg) -- Didi Global Inc. shares got a shot in the arm after one of its largest shareholders increased its stake in the company.

Shares of the Chinese ride-hailing firm rose as much as 5.8% Thursday, their fourth straight day of gains, after a regulatory filing showed that Tencent Holdings Ltd. added about 1.8 million Class A ordinary shares to its holdings. The move raises Tencent’s total ownership of Didi to 7.4% as of Dec. 31, up from the 6.4% that had been disclosed ahead of its June initial public offering.

“The increased stake indicates Tencent’s confidence in Didi, while providing another indication that China’s Internet regulatory cycle is likely over,” said Brendan Ahern, Chief Investment Officer at Krane Funds Advisors LLC.

Tencent’s boosted stake in Didi is a much needed show of faith for the stock which has been decimated by regulatory crackdowns since its trading debut last year. The firm has seen its market value plunge by nearly $50 billion in the span of less than eight months after authorities in China raised concerns about its data security. Didi said in December that it has begun making preparations to withdraw from U.S. stock exchanges and pursue a listing in Hong Kong.

The move also stands in stark contrast to other changes in Tencent’s holdings in recent months. In early January the e-commerce firm cut its holdings of Singapore’s Sea Ltd., fueling speculation that it was planning to pare back its ownership in other Chinese tech firms. That came less than a month after Tencent told investors it planned to divest more of its stake in JD.com Inc. by handing out more than $16 billion of shares as a one-time dividend.

Didi’s four-day rally comes in the wake of news that Chinese state-backed funds had intervened in domestic stock markets Tuesday, rekindling hope that a bottom is near for the nation’s battered equities. Didi’s winning streak would be its longest since October. 

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