Automotive Author: Hu Bi Editor: Yiru Qian May 25, 2022 05:50 PM (GMT+8)

Chinese ride-hailing giant has announced that it will be delisting from the NYSE, with no plans for a new listing. Its revenue jumped 22.6% year-on-year with widening net loss.

Didi travel brand logo

Didi's (DIDI:NYSE) special shareholders' meeting on May 23 concluded with the decision to voluntarily delist from the New York Stock Exchange. Over 95% of shares vote cast favored the delisting plan.

Didi intended to file Form 25 with the US Securities and Exchange Commission on, or after, June 2, to begin the delisting process. 

The firm will not apply to list its shares on any other exchange until the delisting is completed, in order to better cooperate with the cybersecurity review and related rectification measures. 

According to the company, the delisting in New York will be in the best interest of its shareholders, as it is a necessary step for the company to secure necessary approvals from China’s regulators to revive normal local business operations. 

 The company achieved revenue of CNY 173.8 billion in 2021, up 22.6% year-on-year from CNY 141.7 billion in 2020. Core businesses including the Chinese mobility business remained stable, while international business and other business revenues grew more rapidly last year, up 55.2% and 68.1% year-on-year, respectively. 

In terms of net profit, the company's full-year loss widened from the previous 2020 to CNY 49.3 billion. However, losses in Q4 have narrowed significantly. Didi only recorded a net loss of CNY 171 million for that period, narrowing by nearly 99.4% compared to the previous quarter. 

Besides, the core platform's transaction volume reached CNY 2.7 billion in the fourth quarter of 2021, with domestic travel segment transactions hitting CNY 2.3 billion and international transactions at CNY 484 million. 

"Upon resumption of normal operations, the company may then seek a listing on another stock exchange," Didi said in the announcement. 

Didi's shares closed 2.78% higher to USD 1.48 apiece today, with a market cap of USD 7.18 billion.