Home Taxi industry Chinese ride-hailing giant Didi debuts on Wall Street

Chinese ride-hailing giant Didi debuts on Wall Street

17
0

In April, Didi was one of nearly three dozen Chinese internet companies who were dragged to regulators and ordered to ensure their compliance with anti-monopoly rules and “put the nation’s interests first.” .

Didi quickly issued a statement, which the antitrust regulator published on its website, swearing to “promote the development and prosperity of socialist culture and science” and to strictly obey the law.

Didi Dache was founded in Beijing in 2012 and merged with Chinese rival Kuaidi Dache in 2015 to form Didi Chuxing. Although Uber tried to compete in the Chinese market, it eventually sold its Chinese business to Didi in exchange for a stake in the company.

In a filing for its IPO, Didi said revenue fell 8% to $ 21.63 billion last year due to the pandemic. Didi lost $ 1.6 billion last year, although he reported a profit of $ 30 million in the first quarter of this year.

Although Didi is dominant in China and operates in 14 other countries, including Australia, Brazil, Mexico and Russia, its valuation is significantly lower than Uber’s $ 95 billion. Yet that eclipses Lyft, the second-largest rideshare company in the United States, which is valued at nearly $ 20 billion.

Didi said he has the ability to continue to grow as he expands his business into new international markets. “We aspire to become a truly global technology company,” wrote Didi founders Cheng Wei and Jean Liu in a letter attached to the dossier.

Didi was valued at $ 56 billion in 2017, and its investors include SoftBank of Japan; Mubadala, an Abu Dhabi state fund; Alibaba and Tencent, the two main Internet Goliaths in China; and Apple, which invested $ 1 billion in 2016 to show its support for the Chinese market.

LEAVE A REPLY

Please enter your comment!
Please enter your name here