China launches new probe into Meituan’s acquisition of bike-sharing firm

Details:

• China’s State Administration for Market Regulation said it is scrutinizing the Chinese food delivery platform after the firm failed to report the deal during a state-mandated antitrust review.
• In Meituan’s earnings call after its second-quarter results, its CEO Wang Xing said the company will make adjustments in how it conducts its business in order to comply with all relevant regulations.

Dive deeper:

• The antitrust regulator also said that it will further tighten its oversight of China’s sharing economy, which includes companies that provide rental services via online platforms.
• The probe into Meituan comes after it was reported that Chinese regulators are preparing to slap the firm with a fine of roughly US$1 billion for alleged monopolistic practices.