US shares of Chinese platform operators under cybersecurity reviews plummet pre-market
A man walks near the New York Stock Exchange (NYSE) on August 31, 2020 at Wall Street in New York City.Photo: CFP
Chinese ride-hailing giant Didi’s US shares plunged in pre-market trading on Tuesday, in a rout that was joined by two other platform firms that have recently been in China’s cybersecurity crosshairs.
As of 4:40pm (Beijing time) on Tuesday, Didi’s shares on the New York Stock Exchange (NYSE) were down 22 percent.
The NASDAQ-traded shares of Kanzhun, the owner of job-hunting platform Boss Zhipin, lost nearly 9 percent, while NYSE-listed Full Truck Alliance, a Chinese service similar to Uber Technologies that connects freight shippers and truck drivers – dubbed “the Didi of truck freight” – saw its shares plunge about 16 percent.
The US market, which was closed on Monday in observance of Independence Day, resumes trading on Tuesday.
China’s cybersecurity review office said on Monday it was conducting reviews in accordance with relevant laws into Boss Zhipin, as well as Yunmanman and Huochebang – two truck-booking platforms under the Full Truck Alliance – citing national data security risks.
On Friday, a similar review was launched into Didi, and its ride-hailing app was slapped with a takedown order on Sunday due to “serious violations of law and regulations” in the collection and use of personal information.
Didi’s shares sank nearly 11 percent before finishing down 5.3 percent on Friday.
Global Times
