China opens investigation into Didi over cyber security issues two days after IPO

China’s cyberspace agency launched an investigation into ride-hailing company Didi Global over issues related to national security and the public interest.

The investigation was announced two days after the company listed on the New York Stock Exchange with the company’s shares falling by over 10% on Friday in response to the news.

China's Cyberspace Administration (CAC) said on its website that Didi was not allowed to register new users during its investigation.

The cyberspace agency did not offer details about its investigation into Didi but did say that the probe would examine security-related risks.

Didi said in a statement to Reuters that it planned to conduct a comprehensive examination of cybersecurity risks and would cooperate fully with the relevant government authority.

Didi gathers vast amounts of real-time mobility data everyday which it uses for autonomous driving technologies and traffic analysis among other things.

The company is also facing an antitrust investigation which was announced in June, that is looking into whether Didi used anti-competitive behaviours to drive out smaller rivals.