China’s Didi to leave New York exchange

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Earlier on Thursday the US market watchdog unveiled tough new rules for Chinese firms that list in America….reports Asian Lite News

 Chinese ride-hailing giant Didi Global has announced plans to take its shares off the New York Stock Exchange (NYSE) and move its listing to Hong Kong, BBC reported.

The firm has come under intense pressure since its US debut in July.

Within days of the initial public offering (IPO), Beijing announced a crackdown on technology companies listing overseas, the report said.

Earlier on Thursday the US market watchdog unveiled tough new rules for Chinese firms that list in America.

New York Stock Exchange (NYSE) in New York

“Following careful research, the company will immediately start delisting on the New York stock exchange and start preparations for listing in Hong Kong,” the company said on its account on Weibo, China’s Twitter-like microblogging network.

In a separate English language statement, Didi said its board had approved the move, adding: “The company will organise a shareholders meeting to vote on the above matter at an appropriate time in the future, following necessary procedures.”

At the end of June, Didi – China’s answer to Uber – raised $4.4 billion in its New York IPO.

Japan’s SoftBank is Didi’s largest single investor with a stake of more than 20 per cent. It is also backed by Chinese technology giants Alibaba and Tencent.

Uber also owns a stake in the firm as a result of Didi taking over Uber China in 2016.

Didi Global shares have lost more than 40 per cent of their value since their US market debut, the report added.

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