Dingdong (Cayman) Ltd. has agreed to sell its China business to Meituan for up to $717 million in cash. The deal involves the sale of all shares of Dingdong Fresh Holding Ltd., the company’s China operations subsidiary. The purchase price will be paid in two tranches, with 90% at closing and the rest after settling taxes. The agreement includes a non-compete clause and termination fee provisions. Meituan’s stock closed 1.96% higher, while Dingdong’s pre-market trading increased by 2.19%. Shareholders will vote on the deal at an extraordinary general meeting.

Read more at Nasdaq: Dingdong To Sell China Business To Meituan For Up To $717 Mln