Chinese ride-hailing giant Didi Chuxing is being probed by the country's market watchdog, according to a Reuters report.  The State Administratio

Chinese ride-hailing giant Didi faces probe ahead of market debut, says report

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2021-06-17 08:00:06

Chinese ride-hailing giant Didi Chuxing is being probed by the country's market watchdog, according to a Reuters report.

The State Administration for Market Regulation (SAMR), is said to be investigating whether Didi has been unfairly squeezing out smaller rivals.

The SAMR is also examining whether the pricing mechanism used by the firm's core ride-hailing business is transparent enough, said Reuters quoting people familiar with the matter.

Last week, Didi filed papers to list its shares in the United States, in what could be the biggest initial public offering this year.

That would make it the biggest share offering in the United States by a Chinese company since 2014, when e-commerce giant Alibaba raised $25bn (£15bn).

Didi says it is the world's largest mobility-technology platform, operates in 15 countries and counts over 493 million annual active users globally.

It reached its dominant position in the online ride-hailing business in China after years-long subsidy wars with Alibaba-backed Kuaidi and Silicon Valley-based Uber's China unit.

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