These banks were not immediately available for comment on Friday. It was working with banks including Morgan Stanley, Bank of America on the IPO.

If Meicai had pressed on with its listing, it would have been the third online food service platform to list on US exchanges in recent months. This could potentially lengthen their IPO vetting process. 'These companies would likely have to include the risk of a potential non-compliance with China's cybersecurity rules under the 'risk factors' section of the prospectus,' he said. The Cyberspace Administration of China is also conducting an investigation into Didi Chuxing 'to prevent risks regarding national data security and maintain national security' and has since expanded its investigation into other US-listed tech companies, such as online recruitment platform BOSS Zhiping.įor companies that have started their offshore listing application process in Hong Kong and the US, they are likely to review their own internal data governance framework to check if their existing practices comply with Chinese laws, said Jacky Lai, a partner at accounting firm EY in Hong Kong. The moves by these internet companies to suspend their US fundraising plans comes after the State Council, China's cabinet, last Tuesday said it would tighten supervisions on offshore listings by Chinese companies. Meicai, which means 'beautiful vegetables' in Mandarin, was aiming to raise between US$300 million and US$500 million, reports said.

LinkDoc Technology, a medical data solutions provider and Ximalaya, China's biggest podcast platform, are among the companies that have shelved their listing plans, according to media reports. It is the latest Chinese tech company to postpone its US initial public offering plans. Photo: Shutterstock Images alt=Meicai connects restaurants with suppliers of fresh produce. Meicai connects restaurants with suppliers of fresh produce.

Linkdoc prospectus