DiDi’s stock selloff after SEC probe disclosure weighs on U.S.-listed shares of other China-based companies

didi’s-stock-selloff-after-sec-probe-disclosure-weighs-on-us.-listed-shares-of-other-china-based-companies

A selloff in DiDi Global Inc.’s stock DIDI, +1.01%, after the China-based ride-hailing company disclosed a Securities and Exchange Commission probe into its June 2021 initial public offering, sent other U.S.-listed shares of China-based companies lower. DiDi’s stock dropped 4.0% in premarket trading. The company’s shareholders are set to vote on May 23 on the company’s proposal to delist from the NYSE, and to list in Hong Kong instead, after Chinese regulators announced an investigation into alleged data-privacy violations. Elsewhere, shares of Alibaba Group Holding Ltd. BABA, -0.82% shed 2.8% ahead of the open, Pinduoduo Inc. PDD, -1.68% slid 3.3%, iQIYI Inc. IQ, -1.63% dropped 1.7%, Nio Inc. NIO, +0.17% fell 1.4% and JD.com Inc. JD, -1.89% gave up 2.9%. The iShares MSCI China ETF MCHI, +1.20% declined 2.0% premarket, while futures ES00, +0.28% for the S&P 500 SPX, +0.48% rose 0.4%.

Source: Marketwatch

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