U.S.-listed Chinese stocks Qihoo 360 (QIHU), YY (YY), E-Commerce China Dangdang (DANG), Momo (MOMO) and Vianet (VNET) rebounded Tuesday after tumbling for days on reports that Chinese regulators might put the brakes on their plans to delist from the American market and relist in mainland China.
The China Securities Regulatory Commission is mulling limits on the number of reverse mergers from previously foreign-listed companies, sources told Bloomberg. But that eased fears of an outright ban.
YY
YY shares closed up 5.6% on the stock market today but have tumbled about 17% since last Wednesday alone. YY stock sliced both its 50-day and 200-day lines on Friday. Reports surfaced late last week of possible regulatory scrutiny regarding the music and entertainment social network.
Qihoo 360
After losing 11.3% Monday and briefly sipping below its 200-day line, Qihoo shares rebounded 8.9%. The China-based search engine and security firm announced in December a $9.3 billion deal to go private. Qihoo is a rival to much-larger Baidu (BIDU). Baidu has its own problems involving sponsored posts, with the stock edging down 2% Tuesday but tumbling 14.5% so far this month.
Momo
Momo, which said last June that it had received a going-private bid from its CEO and affiliates, rose 6.8% but remain 20% below its close of May 4's trading session. Momo, a Chinese mobile dating app, is currently trading below its 50-day and 200-day levels.
Dangdang
Dangdang shares perked up nearly 10.4% Tuesday after tumbling for three straight trading days, including a 13.3% free-fall Monday. The e-commerce firm received a going-private proposal last July.
Vianet
Vianet rose 14.9% after crashing 29% over the prior three sessions to the lowest level since September 2014. The Internet data carrier got a buyout offer last June.
The China Securities Regulatory Commission believes some of these companies' valuations are too high, Bloomberg reported, citing people familiar with the matter.
