has announced plans to delist its shares from the New York Stock Exchange and prepare for a listing in Hong Kong just five months after the Chinese ride-hailing giant’s U.S. initial public offering.
Just days after the IPO, China’s cybersecurity watchdog launched a probe into Didi (ticker: DIDI) to protect national security and the public interest. The regulator also suspended new user registrations on the app in China.
Reports emerged in July that Didi was considering going private in a move to appease Chinese authorities.
“After careful study, the company will start the work of delisting from NYSE and initiate preparation for listing in Hong Kong with immediate effect,” Didi said in a Chinese statement on its official Weibo account, the South China Morning Post reported.
In an English language statement, the company said its American depository shares (ADS) will be convertible into “freely tradable shares” on another stock exchange. Didi said it would organize a shareholders meeting to vote on the issue.
Shares of Didi fell 6% in premarket trading Friday after the news.
Write to Callum Keown at [email protected]