Baba Stock – Didi Chuxing lines up mega listing in New York
Didi Chuxing, China’s biggest ride-hailing firm, on Thursday made public the filing for its long-anticipated U.S. stock market listing, setting the stage for what is expected to be the world’s biggest initial public offering this year.
The company – backed by Asia’s largest technology investment firms, SoftBank, Alibaba and Tencent – did not reveal the size of the offering, but sources familiar with the matter had previously told Reuters that it could raise around US$10 billion and seek a valuation of close to US$100 billion.
At that valuation, Didi’s listing would be the biggest Chinese share offering in the United States since Alibaba raised US$25 billion in 2014.
In its filing on Thursday, Didi revealed slower revenue growth in 2020 due to the impact of the coronavirus disease pandemic, which hammered ride-hailing companies including Uber and Lyft as lockdowns were enforced all over the globe.
Revenue of 141.7 billion yuan (US$22.17 billion) was down from 154.8 billion yuan a year earlier, while net loss was 10.6 billion yuan, compared with 9.7 billion yuan a year earlier.
However, Didi started 2021 strongly, as businesses reopened in China. Revenue more than doubled to 42.2 billion yuan for the three months ended March 31 from 20.5 billion yuan a year earlier.
Didi confidentially filed for its IPO in April. Two people familiar with the matter on Thursday said Didi was aiming to go public in July.