Last week, DiDi’s blockbuster IPO was destined to bring the ‘Uber of China’ into a new era. ✨ Unfortunately, China had second plans.
Shortly after DiDi’s IPO (which raised over $4B), Beijing officials halted signups on DiDi’s ride-sharing app. The government also mandated the app’s removal from international app stores.
For how long? We still don’t know, but at least as long as it takes for China to conduct DiDi’s “cybersecurity review.” The review comes as China reins in Big Tech conglomerates, especially ones listed on foreign stock exchanges.
As for the investors who decided to buy? They’ll hate to hear that Chinese officials asked DiDi to delay its IPO. Many investors will become bagholders. 😬
$DIDI tanked 19.5% today.