Monopoly Regulators to Probe Tencent’s DouYu-Huya Merger and Punish China Literature and Alibaba

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Chinese regulators said on Monday that they would probe the proposed merger of game live-streaming companies DouYu and Huya, in relation to the deal’s possible violation of monopoly laws. The same …

for not reporting its 2018 purchase of TV production house New Classics Media for monopoly scrutiny.

It is believed that the cases announced Monday are the first time that anti-monopoly laws have been used in the internet-tech sector in China. The fines … are a signal to society that ant-monopoly supervision in the internet field will be strengthened,” the SAMR said in a statement. It further explained that companies should not wait and see if their deals require scrutiny on competition grounds, but instead should report themselves for vetting.Huya and DouYu, both of which have U.S.

Huya and DouYu are both traded on U.S. exchanges which were closed during China’s daytime. Pre-market trading suggested that both stocks could open with a 1-2% decline. Under President Xi Jinping, recent years have seen Party officials installed within a growing number of private companies. In other cases the banking system, which is predominantly state-controlled, has used the availability of credit to steer company activities and investment.

 

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