Reuters reported on Thursday that Chinese companies such as medical big data firm Zero Krypton Technology have delayed or shelved plans to go public in the United States following Beijing’s recent call for tighter regulations on Chinese stocks.
The report cited three people familiar with the matter as saying that Zero Krypton had shelved plans to raise more than $200 million in a U.S. listing after authorities took action against the Chinese company. Multiple domestic media outlets reported that Zero Krypton Technology announced Thursday that it was delaying its IPO and that its listing had been rescheduled accordingly.
In addition to Zero Krypton’s delayed listing, Chinese stocks that were scheduled to list on the Nasdaq exchange, including Yado Group, a lifestyle company serving the new middle class, and Soul, a Shanghai-based social networking app, have also delayed their listings.
The Chinese government issued a notice on Tuesday calling for effective response to risks and emergencies of Chinese companies and promoting the construction of a relevant regulatory system.