- Didi’s American Depository Shares will convert into tradeable shares in Hong Kong.
- Didi went ahead with a US listing in June, despite a data-security review by China regulator.
- Earlier this year, China ordered app stores to remove Didi apps after finding the company collected data illegally.
Didi, the largest ride-hailing provider in China, said it will delist from the New York Stock Exchange and move its shares to the Hong Kong Stock Exchange, bowing to months of pressure from the Chinese government.
The company said in a statement that its board of directors authorized and supports Didi pursuing the necessary procedures to delist its American Depository Shares from the NYSE.
Didi noted that the ADSs “will be convertible into freely tradable shares of the Company on another internationally recognized stock exchange at the election of ADS holders.” The directors authorized the company to pursue a listing of its Class A ordinary shares on the main board of the Hong Kong Stock Exchange, according to the statement.
Last month, the Cyberspace Administration of China asked Didi to delist from the US exchange out of concern over possible leaks of sensitive data, Bloomberg News reported.
Authorities have hounded the company since it went ahead with a New York listing in June, despite the Cyberspace Administration of China urging the company to put the offering on hold while a review of its data practices was conducted, Reuters reported.
Soon after, the CAC launched an investigation into Didi over its collection and use of personal data. It said data had been collected illegally and ordered app stores to remove 25 mobile apps operated by Didi.