Chinese gaming giant Tencent has abandoned the acquisition of Xiaomi-invested gaming phone maker Black Shark, Chinese media outlet 21st Century Business Herald reported on Thursday. Tencent was first reported to be talking with Black Shark in January and hoping the latter would make virtual reality headsets for metaverse-related content. The report said Tencent gave up the acquisition after failing to get approval from authorities. Luo Yuzhou, CEO of Black Shark, who was quoted in the report as saying that the purchase between Tencent and the firm “doesn’t exist, and the firm still has plans for raising money and acquisition.” Founded in 2017, Black Shark is a major gaming phone maker, accounting for 13% of global gaming smartphone markets from the second quarter of 2018 to the first quarter of 2021, according to Canalys. [21st Century Business Herald, in Chinese]