Written by Brenda Nakalema

Alibaba, Bilibili, and China Tech Stock Drop on Livestreaming Crackdown

Tuesday marked a dark day for most Chinese technology stocks in Hong Kong as a result of tighter regulations from …

Tuesday marked a dark day for most Chinese technology stocks in Hong Kong as a result of tighter regulations from Beijing on the country’s live streaming sector and concerns over the proposed planned delisting in the U.S of DiDi Global.

Video-game streaming giant Bilibili (ticker: BILI) witnessed shares drastically drop 11.5% in Hong Kong. Its American depository receipts were traded at 4.2% lower following the announcement by the Central Cyberspace Administration of China saying it was launching a two-month “special action” to reduce illegal content in the country’s online live broadcasting and short video industries.

There are other Chinese technology companies whose shares felt the pinch, too: Kuaishou Technology dropped by 3.5% in Hong Kong, NetEase (ticker: NTES) slid 3.5%, and Alibaba (ticker: BABA) fell 4.2%. The U.S listed shares of Alibaba fell 2.3% in premarket trading.

Hang Seng, Hong Kong’s Tech index, dropped nearly 4% in trading following the long weekend, while the larger Hang Seng index slipped 2.5%.

U. S listed shares of Chinese ride-hailing company, DiDi (ticker: DIDI) gained 0.5% after dropping by over 18% in the previous trading session. The company reported that it was preparing to delist from the New York Stock Exchange. It plans to hold an extraordinary shareholders meeting on May 23 to vote on its delisting, a first of its kind.

On Tuesday, a senior market analyst at Oanda, Jeffrey Halley, said that the Hang Seng had a “torrid day”, further noting “perhaps also weighed down by China ADR delisting votes.”