Meituan, Alibaba Shares Jump as China Seeks to Curb Price Wars
(Bloomberg) — Shares of China’s biggest food-delivery firms climbed as the nation’s top antitrust body launched a probe into competition practices in the sector, spurring hopes that authorities will rein in subsidy-driven price wars.
Market leader Meituan’s stock rallied 6.6% in Hong Kong, the most since May 29. Shares of Alibaba Group Holding Ltd. — the biggest challenger to Meituan — rose 5.3%, while the company’s US-listed shares extended gains to rally as much as 11%.
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“The increased scrutiny on competition will be supportive of industry margins,” said Catherine Lim, an analyst at Bloomberg Intelligence. “It will curb subsidy-led…
