Shares of China’s largest rider-salute service traded up 65 about 65.65 in New York, up nearly 20% from its initial public offering price of $ 14 a share.
At its starting price, Didi is valued at more than $ 80 billion.
Didi, this Uber kicked out
Lists a subtle moment on Wall Street, China’s mainland, five years ago. The company has attracted research from regulators in China, where the technology sector is a Historical oppression
In April, the ride-haler is one 34 companies were summoned
For a meeting with the State Administration for Market Regulation (SAMR), he told executives to put an end to any anti-competitive behavior and ordered internal inspections.
This month, Reuters
Didi announced that she was being investigated for hopeless concerns. According to the report, citing anonymous sources, Didi “did not use any competitive practices to unfairly exploit small competitors.”
In a statement at the time, Didi said, “I will not comment on unsubstantiated speculations from unnamed sources.” SAMR did not respond to a request for comment from CNN Business.
The company is making a significant change in New York US-China tensions
Many large Chinese technology companies do business in the United States Alibaba (Baba)
And J.D.Com (J.D.)
, The environment has become more volatile in recent years. Recently, there has been a flurry of Chinese companies listed on Wall Street Secondary offering
In Hong Kong they can establish strong roots at home, some citing poor regulatory barriers in the United States. Some, like China Mobile and China Telecom
, Would have been Kicked
Absolutely US exchanges.
Despite the tensions, data provider Refinitive estimates that by 2020 Chinese companies will have raised about $ 12 billion from US lists. Nearly $ 8 billion has been raised by Chinese companies so far in 2021, more than three times the amount reached at the same time last year.
Didi is a symbol of two trends. Its upcoming launch marks one of the top 10 lists in the United States over the past decade, as well as the fourth largest U.S. IPO by a Chinese company, according to Diologic.
But in recent months, the company has been considering a double list in Hong Kong, says someone familiar with the matter.
A Chinese champion
Didi abounds everywhere in China, boasting 377 million
Annual active users in the country only.
The company was Established
In Beijing in 2012, Cheng Wei, a former Alibaba manager, created a car service provider called “Didi Tache”, which means taxi salute in Mandarin.
Didi quickly won the support of heavyweights including Apple (AAPL)
, Softbank (SFTBF)
And Alibaba (Baba)
, Prevents competitors. In 2015, it acquired its best local rival, Quaidi Dache, and beat the opposition
Outside of horse racing. The new integrated company soon renamed its primary application to Didi Sucking.
In 2016, Didi too Uber bought
China trade, ending US company presence there. Former Uber CEO Travis Callanic acknowledged Didi as “a fierce competitor” and agreed to exchange shares with companies. (Didi resigned from her post Uber (UBER)
Late last year. Uber holds about 12% stake in Deepi.)
Since then, Didi has ballooned to provide ride-hello, bike sharing, taxi and full services. Carpooling services
The company now has the largest operating platform in the world, with users in 15 countries including China and Brazil, Mexico and Russia.
But it relies heavily on its home market: more than 93% of its sales come from China.
The company expects to change that. A Filed in Securities and Exchange Commission
, Didi said he plans to expand his footprint outside of China by a third of his savings.
“We want to become a truly global global technology company,” wrote Will Wei Cheng and Jean King Liu, respectively, as CEO and president. Letter
One-third of the fund will be used to develop its technology in areas such as electric vehicles and autonomous driving. The rest will come with new products or services or other strategic investments. In their letter, Cheng and Liu said the company was exploring new introductions in areas such as “in-city inventory, community group purchasing and food distribution.”
Like many startups, Didi struggled to make a profit for many years, despite making billions of dollars in revenue.
It was finally able to turn this year around, earning a net income of about $ 800 million for the quarter ended March.
“Didi is a terrific, founder-led, industry-leading innovator,” investor Jim Fryer, founder and CEO of Fryer Capital, told CNN Business in an email. “I look forward to their leadership from what I first invested in many years ago and look forward to the next chapter of their growth.”
The company plans to list on the New York Stock Exchange under the ticker symbol “DT”.
– CNN’s Beijing Bureau, Julia Horowitz, Pamela Boykoff, Jill Disease, Deeksha Madok and Paul R. La Monica contributed to this report.