BEIJING, Sept 29 — The parent company of China’s vast Weibo platform and one of the country’s biggest search engines have announced plans to delist from US stock markets in deals totalling over US$6 billion as relations between Washington and Beijing grow increasingly tense.
Chinese search engine Sogou confirmed today it would be taken private by tech giant Tencent, in a deal that values the New York-listed firm at around US$3.5 billion.
The announcement comes a day after Chinese internet giant Sina Corp — which owns the country’s massive Twitter-like Weibo — said it would go private as well.
A growing number of Chinese companies have delisted from the US or opted for secondary, domestic listings as the world’s two superpowers butt heads over a number of issues including technology, Hong Kong and the coronavirus.
Sohu.com, which is Sogou’s parent company, said in a statement today that the purchase price will be at US$9 per share.
This represents a premium of approximately 56.5 per cent to the closing trading price of Sogou on July 24, shortly before the company announced