Jobaaj Stories
Chinese ride-hailing company's shares saw significant movement after it was reported that the Chinese government was ending its probe into the company and removing the ban on adding new customers.
Previously, Jobaaj had reported about Didi Global's decision to delist wherein we reported how the Chinese counterpart of Uber was banned from Chinese play stores. The company was also deep in antitrust and cybersecurity violations.
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Yesterday, it was announced that the Chinese government was ending its cybersecurity probe as well as preparing, to lift the ban on adding new users. The Chinese regulators are planning to bring back all 26 apps of the company that were banned in July last year due to national security issues.
Alongside Didi Global, Chinese logistics company Full Truck Alliance Co. & online recruitment firm Kanzhun Ltd. will also be allowed to add new customers. Both these firms were facing similar cybersecurity reviews at the same time as Didi global. People with knowledge of the matter say that the removal of the ban could come as early as this week.
The Softbank-backed company showed an impressive performance at the NYSE yesterday as the premarket price of the stock jumped well over 48%. The share opened for trade at $3.05 per share, up 65% from the previous session's close. However, bears took over as they dragged the price down to close at $2.30 per share, a price the share hadn't touched since Mid-April, 2022.
However, the 24.32% gain of Didi Global was not the only impact of this news. Shares of Kanzhun and Full Truck jumped 20% each as the tech-heavy Nasdaq grew 1.8% and S&P 500 gained 1.3%.
Article by Aman Agarwal.
This news piece is brought to you in association with jobaaj.com
