(Yicai Global) Feb. 25 -- TuSimple has agreed to let go two board members from its Chinese investor as part of a settlement with US authorities to end a national security investigation into the self-driving truck startup.

TuSimple, which has operations in China and the United States, sealed a deal with the US government on Feb. 18. It agreed not to reappoint to the board Cao Guowei and Zhang Yu, representatives of Sina affiliate Sun Dream, when their terms expire. Sun Dream also consented not to nominate replacements or increase its shareholding.

Cao Guowei, also known as Charles Chao, is chairman of Sina, the company that runs Sina Weibo, one of China’s biggest social media platforms.

San Diego-based TuSimple agreed furthermore to limit access to certain data and adopt a technology control plan, appoint a security officer and director, set up a government security committee of the board of directors chaired by the security director, and periodically meet with and report to monitoring agencies under the Committee on Foreign Investment in the United States.

Shares of TuSimple [NASDAQ: TSP] soared almost 10 percent yesterday to close at USD16.76 each. But the stock is still down 53 percent since the end of last year.

Sun Dream bought TuSimple’s redeemable convertible preferred stock in a Series B financing round in 2017 and owned 20 percent of the company before its initial public offering last April. For that reason, TuSimple has been under scrutiny by the CFIUS.

Founded in 2015, TuSimple had net losses of USD177.9 million and USD732.7 million in 2020 and 2021, respectively. It did not generate any material revenue and had an accumulated deficit of USD1.1 billion as of last December.

Editor: Futura Costaglione