Shares of Chinese social media giant Weibo open 6% lower on the first day of trading in Hong Kong


Weibo sales space at ChinaPleasure Entertainment Expo in Shanghai, China, Aug. 1.

Costfoto | Barcroft Media | Getty Images

Hong Kong-listed shares of Weibo opened 6% lower in their trading debut on Wednesday.

Shares opened at 256.20 Hong Kong {dollars} ($32.85) a chunk in comparison with a proposal value of 272.80 Hong Kong {dollars} ($34.98).

It is a secondary itemizing for the Chinese social media giant, which raised roughly $385 million.

The most important itemizing is on the Nasdaq in the U.S., the place the inventory rose 4.69% in the in a single day session.

Weibo’s secondary itemizing comes as Chinese ride-hailing giant Didi final week mentioned it will delist from the New York Stock Exchange, and make plans to record in Hong Kong.

Chinese regulators have been reportedly sad with Didi’s determination to record in the U.S. with out first resolving excellent cybersecurity points. Regulators advised the agency’s executives to provide you with a plan to delist from the U.S. resulting from considerations round knowledge leakage, according to reports.

Didi is China’s largest ride-hailing app and owns a big quantity of knowledge on journey routes and customers.

Weibo is the newest Chinese web firm to do a secondary itemizing in Hong Kong.

Others which have carried out so in latest years embrace search engine giant Baidu, e-commerce behemoth Alibaba, its rival in addition to gaming agency NetEase.

It has been a wild ride over the past year for China’s technology sector. Regulators tightened their scrutiny on firms in a transfer that wiped billions of {dollars} off their market worth. Meanwhile, Beijing continues to push for technological self-sufficiency.

CNBC’s Weizhen Tan contributed to this report.

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