Didi shares tank 7% after Chinese regulators visit the ride-hailing giant for cybersecurity review
A mobile phone shows the Didi Chuxing app and its stock price, Yichang, Hubei Province, China, July 6, 2021.
Costfoto | Barcroft Media | Getty Images
GUANGZHOU, China — Shares of Didi plunged more than 7% in U.S. pre-market trade on Friday after officials from seven Chinese government departments visited the ride-hailing giant’s offices to conduct a cybersecurity review.
This month, days after its high-profile listing in the U.S., China’s top cyberspace regulator announced a cybersecurity review of Didi.
The ride-hailing giant was forced to stop signing up new users and its app was also removed from Chinese app stores.
The Cyberspace Administration of China (CAC) alleged that Didi had illegally collected users’ data.
The CAC as well as the State Administration for Market Regulation (SAMR), the leading antitrust regulator, were among the seven departments that visited Didi for the network security review.
