Published on 2 Jan 2024 on Market Watch

Joyy’s stock slides 11% after Baidu cancels $3.6 billion all-stock acquisition

Joyy Inc.’s stock fell 11% in premarket trade Tuesday, after the Singapore-based live-streaming platform said Baidu Inc. has cancelled its $3.6 billion bid for the company. Baidu said in a regulatory filing that the closing conditions for the all-stock agreement had yet to be fully satisfied. “The company seeks to discuss with JOYY the next steps following the termination of the share purchase agreement,” the Chinese tech company said. Separately, Joyy said it is seeking legal advice and will consider all its options in response to Baidu’s decision. “While the sale of YY Live to Baidu was substantially completed on February 8, 2021, with certain matters remaining to be completed in the future, Baidu asserted in the Notice that it has and exercised the right to terminate the Share Purchase Agreement and effectively cancel the transaction,” Joyy said in a statement. Baidu’s stock was down 1.9%.