Short Bets Mount on Tencent-Backed China Food Delivery Giant

Photographer: Paul Yeung/Bloomberg
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Life as a listed company hasn’t been easy for Meituan Dianping, even with the backing of Tencent Holdings Ltd., Goldman Sachs Group Inc. and bullish analysts.

Short interest has climbed on the food delivery firm since its debut in Hong Kong seven weeks ago, and its shares slumped 26 percent last month alone, pressured by a global technology rout and continued weakness in Chinese markets. As the slide gathered pace, Goldman spentBloomberg Terminal around $540 million buying Meituan stock in its role as stabilization manager.