Strategic investors won’t be allowed to lend out shares during agreed lock-up periods, the Shanghai Stock Exchange and Shenzhen Stock Exchange said in separate releases following the China Securities Regulatory Commission’s statement.
Investors started selling out in 2021, when China s private sector crackdown went into full gear. Covid Zero restrictions further worsened sentiment toward the market. Stocks staged a strong rebound through late 2022-early 2023 as China reopened its economy, but the optimism has all but evaporated.
The 44-year-old mogul still has a sizeable net worth of $9.3 billion, but he is having trouble convincing investors skeptical of the firm’s future outlook.