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China to thoroughly investigate two more U.S.-listed firms

The Chinese government has launched a security probe to two more U.S.-listed companies. The Full Truck Alliance Co and Kanzhun Ltd. will be thoroughly investigated. The probe of the two companies comes soon after the security probe into Didi Global Inc.

Cyberspace Administration of China has stated that, new user registrations at the companies will be put on hold in order to preserve national and data security. Few days back, a similar move was taken by the CAC. It had directed the dismissal of Didi from the app stores. This immediate action was taken by the CAC as the Didi Global Inc. had violated many rules related to its data collection and use of sensitive information.

The probe has been launched to the online truck logistics platforms Yunmanman and Huochebang, and also Boss Zhipin, the Chinese recruiting app. The aforementioned companies had recently made their stock market debuts in America’s market.

Beijing is concerned about the growing technology corporations and trying to curb the data handled by the companies to collect personal information. The companies are being scrutinized thoroughly as they have found to expand their investor base beyond China. The companies made their first public offerings in the U.S markets.

The Yunmanman and Huochebang have collaborated with each other to create Full Truck Alliance. The Full Truck Alliance has now become biggest truck-hailing platform in China. In the previous month, Full Truck Alliance raised $1.6 billion in the public offering in U.S. The Chinese government found that the shares of the companies changed since the debut, following probe into the companies.

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