Didi Shares plunges as Chinese surveys of US listed companies rock investors

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HONG KONG — China’s regulatory investigations of three tech companies shortly after their US listing caught global investors off guard, showing the risks of owning stocks in fast-growing companies that have come under a microscope from Beijing.

On Tuesday morning, U.S. deposit receipts from newly listed company Didi Global Inc. fell 22.7% after China’s cybersecurity regulator dealt a second blow to the ridesharing giant two days after launching a review of the carpool on Friday. the security of its data.

A unit of the regulator also announced on Monday investigations into data security in popular mobile apps operated by Full Truck Alliance Co. and Kanzhun Ltd., whose ADRs fell 20% and 10% respectively on Tuesday morning. US markets were closed Monday for the July 4th holiday.

The three companies had raised nearly $ 7 billion in total when they went public in the United States in June, and their shares rose when they started trading.

Didi’s Chinese rideshare app, Full Truck Alliance’s two trucking platforms, and Kanzhun’s online recruiting app have been ordered to stop adding users during exams. China’s Cyberspace Administration has asked app store operators to shut down Didi’s service in China and said the Beijing-based company collected personal information “in violation” of the country’s laws and regulations.


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