Chinese ride-hailing company Didi has stated that it will continue to move forward with its plans to delist from the New York Stock Exchange due to a cybersecurity probe that has left the company to remove its app from online marketplaces.
Beijing has tightened its grip on the country’s tech companies and as part of this, a cybersecurity probe was launched into Didi and its massive droves of user data. The probe has forced Didi to deregister the company’s apps until the probe has been completed. Unfortunately for the company, in order for the investigation to move forward, the company must first delist from the NYSE. A vote between the company’s shareholders on Monday resulted in 96% of the shareholders casting votes in favor of the delisting allowing for the completion of the probe.
The delisting should be concluded on June 2, 2022, and the trading of shares will then stop 10 days after. Once Didi is allowed to re-register their apps, the company has stated it will then look to become listed in Hong Kong.
Source: Bloomberg
