The latest Chinese firm that plans to delist its ADRs from the New York Stock Exchange is the ride-hailing giant Didi Global (DIDI). According to The Wall Street Journal the firm plans to pursue a listing on the Hong Kong Stock Exchange. Didi’s delisting has come just a few months after listing on the NYSE on June 30th of this year at $14 per ADR. The shares have fallen 44% as of yesterday’s close. From the journal article:
In July, The Wall Street Journal reported that Didi was considering going private to placate Chinese authorities. The Journal also reported in October that China’s internet watchdog had suggested that Didi explore a listing in Hong Kong.
However, Didi’s Thursday statement suggested the company isn’t going to pursue a take-private deal that would buy out the shares held by public investors—a transaction that would require billions of dollars of financing given its market capitalization.
Instead, Didi said it would apply to delist its American depositary shares from the NYSE, while ensuring they would be convertible into shares that could be freely traded on another international stock exchange. It said it would arrange a shareholder meeting to vote on the move. Didi didn’t provide a reason for the planned New York delisting.
Source: Didi Global Plans to Delist From New York Stock Exchange, WSJ
If you are holder of Did ADRs you may be wondering what are your options now that the ADR is getting delisted. The following article I wrote a few years ago may provide some answers to those and other questions:
Disclosure: No Positions
