Lizhi (NASDAQ:LIZI) stock is on the rise Monday after announcing it has been chosen for a government-backed program.
According to a news release, Lizhi is one of the first companies taking part in a Guangdong-based pilot program. This goal of this Chinese program is to create a diverse streaming platform for the online audiovisual industry in light of 5G’s spread.
Lizhi and the other nine companies taking part in the pilot were selected after evaluation from third-parties. The reason behind its selection is its innovation and ability to help further develop the online audiovisual industry.
Ning Ding, co-founder and Chief Technology Officer of Lizhi, said the following about the news boosting its stock.
“We are truly honored to be selected into this pilot program among the first in the region. The Administration’s recognition of LIZHI reaffirms the role that our platform plays in creating a global audio community where the world can create, share and connect through audio and across cultures.”
Lizhi is a company that focuses on sharing user-generated content via its app. It launched the app in 2013 and the company has seen growth since then. It’s currently among the top 100 internet companies in China. Lizhi is also the first Chinese online audio company to list on the Nasdaq, which started offering its stock in January of this year.
LIZI stock was up 21.5% as of Monday afternoon.
On the date of publication, William White did not have (either directly or indirectly) any positions in the securities mentioned in this article.
