Sumary of Ride-hailer Didi reveals $2b loss in US IPO filing:
- NEW YORK • Chinese ride-hailing company Didi revealed a US$1.6 billion (S$2 billion) net loss for last year as it moves ahead with plans for a United States initial public offering (IPO)..
- The company, in its first public filing for the IPO, listed the offering as US$100 million (S$132 million), a placeholder that will change when it discloses terms for the share sale..
- The company has been considering seeking a valuation of as much as US$70 billion to US$100 billion in the IPO, Bloomberg News reported in April..
- The alleged murder of two passengers by Didi drivers in 2018 sparked public outrage and the mass deleting of the company’s app..
- Rivals could undercut its customer prices or poach drivers with better earning potential, the company said in the filing, and its business model would suffer if its army of drivers were reclassified as employees..
- The company also cited the possibility of antitrust fines or regulations, as well as the chance its share price could drop because of negative sentiment in the US about Chinese companies…