| 2 August 2021, Monday |

China’s Didi plans to raise up to $4.3 billion through US IPO

Chinese ride-sharing company backed by SoftBank, Didi Global have targets to raise $4.3 billion from its IPO in the US as it looks to grow its presence in some international markets and introduce new products.

The company estimates its listing shares to range between $13 and $14, which values the company as high as $67 billion, according to a filing with the US Securities and Exchange Commission.

“The primary purposes of this offering are to create a public market for our shares for the benefit of all shareholders, retain talented employees by providing them with equity incentives, and obtain additional capital,” the company said.

It plans to list the equivalent of 72 million shares of Class A common stock on the New York Stock Exchange under the ticker symbol DIDI.

Almost 30 percent of the net proceeds from the offering will be invested in strengthening the company’s technological capabilities, while 20 percent will be earmarked to introduce new products, according to the company. It will also invest 30 percent of the total money raised through the IPO to expand globally.

Shared mobility is gaining traction across the globe due to technological advancements. A number of companies are active in the sector including Uber, Grab, Lyft and India’s Ola.

Didi is currently active in 4,000 cities across 16 countries.