Chinese regime ordered to stop DiDi from listing in the United States and increase control of technology companies

U.S.A.Chinese regime ordered to stop DiDi from listing in...

FILE PHOTO: An operator works during the IPO of Chinese trucking company Didi Global Inc on the New York Stock Exchange (NYSE), United States, on June 30, 2021. REUTERS / Brendan McDermid / File Photo

Chinese regime regulators have ordered executives of the trucking giant Didi Global Inc, that they devise a plan for closing the business in NYSE Reported, arguing the alleged concerns for the security of your data bloomberg news, technical control body China wants the managers of Elder sister take the company out of the stock market America For that concern I knowFilter sensitive data“, according to the article.

NS Elder sister Not too much China Cyberspace Administration (CAC) responded to requests for comment Reuters, investors’ shares Didi, SoftBank Group Corp and Tencent Holdings, fell more than 5% and 3.1%, respectively, after the article’s publication.,

Proposals under consideration include direct privatization or IPO hong kong After withdrawal from trading in America, according to the article. If privatized, shareholders will be offered at least an initial public offering price of $14 per shareThe outlet, citing sources, said the short offering could spark lawsuits or resistance from shareholders as soon as June’s IPO follows.

at the end of Wednesday. shares of DiDi had fallen 42% to $8.11 since going public in June.,

The company came into conflict with Chinese authorities when it went ahead with its listing. New York, despite the Chinese regulator urging it to keep pending a cybersecurity review of its data practices, sources have told Reuters,

shortly after, CAC started investigation on Elder sister in relation to the collection and use of personal data. The Chinese regulator said the data was collected illegally and Mobile App Store ordered to recall 25 DiDi powered mobile apps,

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Elder sister It then responded by saying that it had stopped registering new users and that it would make changes to comply with national security and rules on the use of personal data, and that it would protect users’ rights.

The Chinese tech giant is under intense state scrutiny for its antitrust behavior and handling of its vast collection of consumer data., before whom Beijing It tries to curb its dominance after years of growth without limits. Analysts also believe that by controlling the most important technology firms, it will be able to monopolize that dominance over citizens’ data, not only in China, but in other countries where these companies operate.

According to a June Didi filing, SoftBank Vision Fund owns 21.5% of Didi, followed by Uber Technologies Inc. with 12.8% and Tencent with 6.8%.

Elder sister had raised $4.4 billion by entering wall Street, the highest amount for a Chinese company Alibaba in 2014.

The signing of contract routes with a driver has been greatly influenced by regulatory measures Beijing has taken on large local technology companies, which have also been affected. Alibaba, Tencent hey mituan,

Established in 2012 by cheng v, former Alibaba manager, Elder sister managed to throw out China‘s Uber in 2016 after an all-out price war, It is currently available in 15 countries including Russia and Australia.

claim application 15 million drivers and over 500 million users,

(With information from Reuters and Bloomberg).-

read on:

DiDi is one step away from giving up control over its users’ data to satisfy Chinese rule
Didi: Data, temptation and shock from the Chinese regime

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