Didi Global denied a media report that the ride-hailing company is going private. The Wall Street Journal had said that the Chinese company could go private to placate Chinese authorities
Ride-hailing company Didi Global (DIDI.N) on Thursday denied a media report that the company was considering going private to placate Chinese authorities and compensate investor losses since it listed in the United States.
on Thursday denied a media report that the company was considering going private to placate Chinese authorities and compensate investor losses since it listed in the United States.The Wall Street Journal, citing people familiar with the matter, reported that the Chinese company has been mulling delisting plans as a crackdown in China widens and it has received support from cybersecurity regulators.
Didi, which listed in New York last month after raising $4.4 billion in an initial public offering (IPO), said in a statement that the WSJ report was not true."The company affirms that the above information is not true," it said, in reference to the report. "The company is fully cooperating with the relevant government authorities in China in the cybersecurity review of the company."
Shares in Didi jumped as much as 40% in premarket trade on news of the WSJ report, but pared gains when trading opened on Wall Street. Didi rose 11.2% from Wednesday to close at $9.86 a share, but is down 29.6% from its listing price on June 30.Days after Didi's market debut, the Cyberspace Administration of China (CAC) launched an headtopics.com
and asked it to stop registering new users, citing national security and the public interest.The regulator also said it wouldremove the mobile appsoperated by Didi from app stores.Didi's listing was the biggest stock sale by a Chinese company since the 2014 listing of e-commerce behemoth Alibaba Group Holding Ltd .
The logo for Chinese ride-hailing company Didi Global Inc on the New York Stock Exchange (NYSE), June 30, 2021. REUTERS/Brendan McDermidThe action against Didi came close on the heels of a month-long regulatory crackdown on China's massive internet sector for antitrust, customer data privacy and other violations, which has rattled investors.
Beijing said earlier this month that officials from at least seven departments, including the CAC, Ministry of Transport, and State Administration for Market Regulation (SMAR) were conducting an on-site cybersecurity review of Didi.The CAC had been looking into whether there is a possibility of some of the
company's data ending up in the hands of a foreign entitygiven Beijing's sensitivity about usage of onshore data, sources have told Reuters.Didi has been in talks with bankers, regulators and key investors to try to resolve the problems following its listing on the New York Stock Exchange, the WSJ report said. ( headtopics.com
https://on.wsj.com/3ybFu4h)The WSJ reported that Didi had asked its major underwriters to assess investors' views regarding a privatisation plan, as well as the pricing range that they would accept.A take-private deal that would involve a tender offer for its publicly traded shares is one of the preliminary options being considered, the WSJ report said.
Chinese companies have been under increasing U.S. scrutiny.A commissioner with the U.S. Securities and Exchange Commission said on Monday that U.S.-listed Chinese companies mustin their business as part of their regular reporting obligations.The SEC in March adopted measures that would
kick foreign companies off American stock exchangesif they do not comply with U.S. auditing standards. The Public Company Accounting Oversight Board has long complained about its lack of access in China.Reporting by Herbert Lash in New York, Chavi Mehta and Eva Mathews in Bengaluru, Yilei Sun in Beijing; Writing by Sumeet Chatterjee; Editing by Arun Koyyur, Jane Merriman, Carmel Crimmins and Marguerita Choy
Our Standards:More from ReutersSign up for our newsletterSubscribe for our daily curated newsletter to receive the latest exclusive Reuters coverage delivered to your inbox. Read more: Reuters Top News »
Gavin Newsom holds onto his job as California governor, CNN projects
California's Democratic Gov. Gavin Newsom has defeated the effort to remove him from office, according to a projection from the CNN Decision Desk, capping off a recall effort that was born in partisan anger over his pandemic response but ended with a vote of confidence in his strategy to combat it.
Robinhood, Didi Global, Facebook, Credit Suisse: What to Watch When the Stock Market Opens TodayRobinhood Markets will begin trading on the Nasdaq today; Didi Global shares are bouncing on a report it is considering going private.
Uber shares drop as Softbank plans to sell shares to cover Didi lossesCNBC's Deirdre Bosa reports that Softbank plans to sell a block of Uber shares to cover losses from Didi. Softbank planned for a hit and run, but got snatched
Sundance Winner ‘Writing With Fire’ Scores Raft of Global Sales, Reveals Trailer (EXCLUSIVE)Rintu Thomas and Sushmit Ghosh’s documentary “Writing With Fire,” which won Audience and Special Jury awards at Sundance earlier this year, has sold to multiple territories. Sales… Yes I want u to bring my winning u awoman I talking to
Critical measures of global heating reaching tipping point, study findsCarbon emissions, ocean acidification, Amazon clearing all hurtling toward new records
Univision Buys Stake in MMA Firm Combate Global as Sports Rights Heat Up (Exclusive)Univision is making a big bet on mixed martial arts. The Spanish-language media giant is acquiring an equity stake in the MMA firm Combate Global, seeking to own a piece of the burgeoning combat sp… Y en otro lado... cc rafaportohill rocawitter elDJ3000 EliotReyna Oyerista luchox50 tvporcable lurangelTV
Global Viral Hepatitis: Millions of People are Affected | CDCViral hepatitis affects millions of people globally, which is why CDCgov’s Division of Viral Hepatitis is dedicated to working toward a hepatitis-free future. This WorldHepatitisDay, learn more and find out how you can be a part of the change: HealthyEscambia CDCgov Would washing hands and masks help? Lol