Chinese ride-hailing giant Didi Chuxing has been hit by a cybersecurity review in China, causing its shares to plunge 10 percent in the pre-market Friday.
China's cybersecurity review office said in an announcement Friday that it is implementing a cybersecurity review of Didi Chuxing to prevent national data security risks, safeguard national security and protect public interests.
To cooperate with the cybersecurity review and prevent the expansion of risks, Didi stopped new user registrations during the review period, the announcement said.
Didi responded by saying that it would actively cooperate with the review, comprehensively sort out and investigate network security risks, and improve its network security system and technical capabilities.
Didi landed on the New York Stock Exchange on June 30 under the trading symbol "DIDI" and opened at $16.65, nearly 19 percent higher than its offering price of $14.
Didi gained more than 28% on the same day and closed up 1% at $14.14, with a market cap of nearly $67.8 billion.
Didi rose 15.98 percent to $16.40 on July 1.
The stock fell 9.88 percent to $14.78 before the bell on Friday.
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