DiDi Global to delist from New York and seek listing in Hong Kong

Ride-hailing giant DiDi Global said on Thursday it will delist from the New York Stock Exchange and pursue a listing in Hong Kong. Its board of directors has authorised the company to undertake the necessary procedures and file the relevant applications for the delisting of its American depository shares from the New York Stock Exchange, DiDi Global said in a statement on Thursday. "The ADSs will be convertible into freely tradable shares of the company on another internationally recognised stock exchange at the election of ADS holders," the company said. The company ran afoul of Chinese authorities by pushing ahead with its $4.4 billion US IPO in July despite being asked to put it on hold while a review of its data practices was conducted. The Cyberspace Administration of China then quickly ordered app stores to remove 25 mobile apps operated by Didi and also told the company to stop registering new users, citing national security and the public interest. Didi remains under investigation. "The company will organise a shareholders' meeting to vote on the above matter at an appropriate time in the future, following necessary procedures," it said. The board has authorised DiDi Global to pursue a listing of its class A ordinary shares on the main board of the Hong Kong Stock Exchange, the statement added. DiDi made its New York debut on June 30 at $14 per ADS, which gave the company a valuation of $67.5bn. Those share have since slid 44 per cent until Thursday's close, valuing it at $37.6bn. SoftBank's Vision Fund owns 21.5 per cent of DiDi, followed by Uber Technologies with 12.8 per cent, according to a filing in June by DiDi.

DiDi Global to delist from New York and seek listing in Hong Kong

Chinese regulators expressed concerns about data security at the ride-hailing company's New York Stock Exchange listing