Didi announced that it is starting the process of delisting from NYSE and initiating preparations for listing in Hong Kong with immediate effect.
The ongoing drama surrounding Chinese ride-hailing giant Didi Chuxing that has been festering for the past few months is finally starting to see the end of it.
Didi announced on its Weibo account today that it is starting the process of delisting from the New York Stock Exchange (NYSE) and initiating preparations for a listing in Hong Kong with immediate effect.
Its board of directors authorized the company to file for delisting from the NYSE and seek a listing in Hong Kong, it said in a separate statement on its website.
The company will ensure that its US-traded ADSs will be convertible into "freely tradable shares of the Company on another internationally recognized stock exchange."
"The Company will organize a shareholders meeting to vote on the above matter at an appropriate time in the future, following necessary procedures," it said, adding "The Board has also authorized the Company to pursue a listing of its class A ordinary shares on the Main Board of the Hong Kong Stock Exchange."
Didi was listed on the NYSE on June 30 under the ticker symbol "DIDI" and opened at $16.65, nearly 19 percent higher than its offering price of $14.
But only two days later, China's Cybersecurity Office said in an announcement on July 2 that it was implementing a network security review of Didi to prevent national data security risks, safeguard national security and protect the public interest.
In order to cooperate with the network security review and prevent the expansion of risks, Didi stopped new user registration during the review period, the announcement said.
Didi then responded by saying that it would actively cooperate with the review, comprehensively sort out and investigate network security risks, and improve its network security system and technical capabilities.
On July 16, seven Chinese departments conducted an on-site cybersecurity review on the company.
Didi closed down 0.13 percent to $7.80 on Thursday in the US stock market, down 45 percent from its IPO price.