Baidu’s move is aimed at avoiding price drops, adding value amid rising tensions between the US and China over investment as well as disputes over the origin of the Covid-19 virus.
Baidu has been considered the king of China’s search industry since Google decided to leave the billion-dollar market.
According to Reuters sources , Baidu - one of the Chinese technology corporations on the Nasdaq, US stock market at the earliest - is looking for some reputable advisers to carry out the procedures to leave the United States. , including consideration of issues surrounding funding and any potential legal responses.
Robin Li, co-founder and CEO of Baidu, interviewed by China Daily on May 21, said that Baidu was very interested in tightening US surveillance of Chinese companies. Quoc on the stock market in recent years.
Robin Li- co-founder and director of search engine Baidu. Photo: Reuters
"For a potential company, it will have a lot of other destinations to list, not constrained in the US," Mr. Li stressed.
According to sources, Baidu believes that they are being priced at the Nasdaq exchange in New York lower than the actual value.
Baidu’s stock has fallen more than 60% since its peak in May 2018 while the Nasdaq Golden Dragon China Index .HXC, which tracks Chinese companies listed on the US exchange, has lost less than 10%. over the same period.
Yahoo’s market capitalization is US $ 29.59 billion as of May 20, equivalent to only 5% of Alibaba’s market value, with shares listed in Hong Kong (9988.HK) and Depository shares. The United States is listed in New York (BABA.N).
Pressure from all sides
The US Senate passed a bill on Wednesday to prevent some Chinese companies from listing on U.S. exchanges unless they follow U.S. audit and regulatory standards. Photo: Getty
The move is considered an escalation of a protracted dispute between Washington and Beijing over allowing US regulators access to Chinese audits.
Last week, a Savings Plan supervisory board, a pension fund for US federal employees and members of the military, indefinitely delayed plans to invest in a number of Chinese companies. force from the White House.
At home, Yahoo has struggled with a sluggish economy and growing competition for downloads in China such as ByteDance, the owner of the popular video sharing app TikTok. Last year, ByteDance launched a search engine in China, entering a traditional field dominated by Baidu.
Beijing-based Baidu has dropped 7% of its first-quarter revenue this year. While its sales are better than analysts expected, despite the biggest drop of the year since the company launched in 2005.
