Chinese food delivery giants surge as regulator, state media call end to price war
HONG KONG, March 25 (Reuters) - Hong Kong-listed shares of delivery platform Meituan 3690.HK surged on Wednesday after Chinese state media and the regulator urged the industry to end a bleeding price war.
Meituan 3690.HK surged as much as 12.6% to a high of HK$89 a share in afternoon trading
Rival Alibaba 9988.HK and JD.com 9618.HK both jumped more than 3%.
State media Economic Daily published an opinion piece on Wednesday, calling an end to the bruising price war among food delivery platforms
State Administration for Market Regulation later reposts the piece to its official website in a sign of regulator endorsement.
"The entire industry has fallen into a vicious cycle of losing money in an attempt to grab market share, ultimately dragging down the broader trend of consumption recovery," the report said.
