We operate a daily deal site here in New York City (Scoop St.) but we've been closely examining mainland China from my co-founder's roots in China. The backstory to this potential deal is quite interesting. Tencent invested in DST's last fund which then invested in the market leader for local deals.

Also of interest here is that Tencent usually "builds" rather than "buys" in their strategy. Tencent has already been testing their own local deals in select markets under Tuan QQ for a few months now: http://tuan.qq.com/