On June 23, 2006, Beijing time, according to a document from the US regulatory authorities, Google has put about 2% of its shares into Baidu (Nasdaq:BIDU). According to Baidu's current share price, the total value of these shares exceeds $60 million. Affected by this, Baidu's share price fell nearly 5% on Nasdaq this Thursday.
Google placed 749,625 shares of Baidu Class A common stock this time. As an internal participant in Baidu's initial public offering (IPO), Google was initially unable to sell its shares in Baidu.
Debbie Frost, a Google spokesperson, confirmed: "We have divested a small part of our investment in Baidu. It has always been our goal to successfully develop our own business in China, and we are very concerned about this. "
In June 2004, Google bought a part of Baidu's shares for $5 million. In August 2005, Baidu made its initial public offering on Nasdaq. Documents submitted by Baidu show that Google held about 2.6% of Baidu's shares at that time.