FTSE says to add Didi in indexes as planned on July 8, barring trade halt
SHANGHAI (Reuters) – Index publisher FTSE Russell said Didi Global Inc will be added to its global equity indexes as scheduled on July 8, but not if trading in shares of the Chinese ride-hailing company is suspended during U.S. market hours on Wednesday.
FTSE Russell said earlier this month Didi will be included in the FTSE All-World Index, the FTSE Global Large Cap Index, and the FTSE Emerging Index in an expedited entry following the Chinese company’s $4.4 billion listing on the New York Stock Exchange last week.
But Didi and its investors have been thrown into turmoil since late last week as Chinese regulators launched a crackdown on the company. Its shares slumped in U.S. trading on Tuesday, in the first session since the regulators ordered the company’s app to be taken down in China.
“In the event that trading in Didi Global ADS is suspended during U.S. market hours on Wednesday, FTSE Russell will not proceed with the fast entry addition and monitor, in accordance with the index policy for trading halts and market closures,” said in a statement on its website.
It was not immediately clear why FTSE Russell was making a reference to a chance of a trading halt for Didi.
The index publisher, against whose indexes funds benchmark trillions of dollars of assets, was not immediately reachable for comment.
(Reporting by Samuel Shen and Andrew Galbraith; Editing by Muralikumar Anantharaman)