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China’s regulator fines Weibo operator, sending shares tumbling


China’s Weibo mobile app.

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Hong Kong listed shares in Chinese social networking company WeiboThe stock plummeted more than 9 percent on Tuesday after its operator was penalized by regulators with a fine of three million Yuan ($471,151).

China’s Cyberspace Administration stated on WeChat that they had fined Weibo’s Operator BJ Weimeng Innovation & Technology Company for violating relevant laws and regulations.

The regulator reported that Weibo received 44 penalties of 14.3 million Yuan ($2.24 Million) over the span from January through November.

Since Weibo’s secondary listing in Hong KongLast week, the stock plunged more than 10%. The stock’s Nasdaq-listed shares fell 6% overnight Wall Street and have plunged more than 26% annually.

Weibo, in response to the fine, stated that it would correct the error, fulfill its responsibility and continue improving its governance. According to CNBC’s translation,

CNBC Pro provides more details about China

Chinese ride-hailing giant Didi said earlier this monthIt will begin delisting the New York Stock Exchange and plan to list in Hong Kong. According to reports, regulators want Didi, a Chinese ride-hailing company from China to stop listing on the New York Stock Exchange due to concerns over leakage.

Trump made steps to remove U.S. investments into Chinese companies as tensions between America and China increased, particularly in those considered untrustworthy. to have alleged ties to the Chinese military.

— CNBC’s Iris Wang, Evelyn Cheng contributed to this report.