CX Daily: China IPO Slowdown Pits Startups Against Investors
TOP STORIES
IPOs?/
China’s depressed stock markets and a slowdown in IPO registration by regulators have sent a chill through the world of private equity (PE) and venture capital (VC) firms, whose funds have traditionally chosen listing as the most popular exit channel for their Chinese investments.
The market downturn has spelled trouble for many IPO hopefuls and created a rift between them and their PE/VC investors that is increasingly leading to arbitration or litigation when companies fail to follow an agreed timetable to go public and allow funds to exit. ?
Pakistan?/
China’s foreign ministry has condemned a “terrorist attack” in Pakistan that killed five Chinese citizens, urging the South Asian nation to thoroughly investigate the incident and hunt down those responsible.
On Tuesday afternoon, a suicide bomber rammed a vehicle into a Chinese company bus carrying the victims to the construction site of the Dasu hydropower dam in northwestern Pakistan’s Khyber Pakhtunkhwa province, according to official statements and a Reuters report citing local police.
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TikTok?/
The looming threat of a business ban on TikTok in the United States is driving millions of users and advertisers to seek alternatives to the popular short video platform, presenting a significant opportunity for rivals such as YouTube and Meta.
Data released by Sensor Tower in March indicates that, over the past 90 days, nearly 94% of TikTok users in the U.S. have begun using Alphabet’s YouTube. Additionally, 80% of TikTok users have shifted their attention to Instagram, 68% to Facebook, and 55% to Snapchat.
FINANCE & ECONOMY
Housing?/
Authorities in two of China’s largest cities have revised a longstanding policy governing residential housing development, signaling a significant change in real estate market dynamics to allow for larger families and more space.
Shenzhen, Southern China's technology hub with a population of over 20 million, has scrapped a policy that prioritized the construction of small and medium-sized housing units. This change potentially shifts the focus towards larger homes to meet the growing demand of families for more spacious living areas. ?
PBOC?/
The People’s Bank of China (PBOC) has promoted Tao Ling, a veteran official, to deputy governor, the central bank’s website shows.
Tao, 52, has extensive experience in financial stability and regulating the asset management business, public information shows. People close to her describe her as competent and affable. ?
Banking?/
Several of China’s small and midsize banks have cut interest rates on five-year time deposits to protect their profit margins as expectations grow for a continued decline in lending rates.
Meizhou Hakka County Bank Co. Ltd. in Guangdong province, for example, on March 1 cut its rate on five-year time deposits to 2.5% from 2.7%, according to announcements on the bank’s website. ?
领英推荐
Quick hit?/
BUSINESS & TECH
MNCs?/
Saudi Aramco sees opportunities to invest in and cooperate with China in the fields of chemicals, green materials, energy transition, and digital innovation, said Amin Nasser, the president and CEO of the Saudi Arabian oil giant.
While energy remains “a strategic pillar” of Aramco’s relationship with China, future opportunities extend beyond investing and cooperating in energy alone, he said Monday at the China Development Forum in Beijing.
Batteries?/
Claims about the readiness of a solid-state battery set to be used in a new model from an Alibaba-backed electric-vehicle (EV) maker has sparked skepticism among industry experts, who argued that such a battery is still far from being mass produced due to technological hurdles.
Liu Tao, co-CEO of IM Motors, said on social media Monday that his company’s L6 sedan, expected for launch in May, will be the first car to be fitted with a solid-state cell that supports ultra-fast charging technology and is capable of delivering a range of 1,000 kilometers on a single charge. ?
Medical?/
The Chinese Hospital Association (CHA) has removed vice president Fang Laiying nearly 10 months after the retired Beijing health official disappeared from the public eye.
At a meeting Saturday, the association’s board members voted to remove Fang as part of a broader leadership reshuffle, according to a Tuesday statement from the nonprofit run by China’s top health regulator. Fang is no longer among the vice presidents listed on the CHA’s website. ?
Quick hits?/
Daily Tech Roundup?/
Long Read?/
GALLERY
The popularity of the dish known as ‘malatang’ in Tianshui, Northwest China’s Gansu province, has reached fever pitch, attracting hordes of tourists from all over the country. Local tourism authorities arranged free shuttle buses to cope with the influx of people, with major attractions in the city recording a significant uptick in visits.