Weibo parent Sina to delist US stocks in US$2.6 billion deal

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Chinese Internet giant Sina has announced plans to delist its US shares and go private, making it the latest to withdraw from the country's stock ...

The US is considering plans to impose stricter rules on firms listed in the country to open up their audit papers to US accountants, which could lead to Chinese companies forced out.E-commerce giants Alibaba and JD.com, which are traded in New York, have already launched huge offerings in Hong Kong in the past year, while Alibaba's financial arm is planning a mega dual IPO in the two cities.

China's leading chipmaker SMIC, meanwhile, delisted in June. This week the US slapped new export restrictions on the beleaguered manufacturer, battering its Hong Kong stocks.US President Donald Trump has already limited the amount of business US firms can do with telecoms titan Huawei, while he has insisted that the Chinese parent company of popular video app TikTok sell its US operations to an American company, citing security concerns.

The Sina agreement will see it merge with New Wave MMXV, a Cayman Islands-registered company controlled by Sina CEO Charles Chao, according to a statement posted Monday.The merger is expected to close during the first quarter of 2021, the company said.

 

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