Didi Chuxing, the Chinese ridesharing company, has made its filing of the initial public offer public Thursday, as ridesharing services begin to pick up with the pandemic in retrospect.
Founded in Beijing in 2012, Didi began as a taxi service before expanding to other forms of transportation. In 2015, he merged with another Chinese rival, Kuaidi Dache, to form what became Didi Chuxing.
Didi has since been dominant in China. In 2016, Uber, which was spending a lot to develop in China, sold its Chinese activities to Didi. (Uber got a stake in the resulting company.) Didi now operates in 15 countries, including Brazil and Mexico.
The company’s IPO will likely be under scrutiny amid a wave of other tech offerings and as Beijing has started to curb domestic tech giants. Didi was valued at $ 56 billion in 2017 and its investors include SoftBank of Japan and Mubadala, an Abu Dhabi state fund.
Didi’s dossier, filed under his official name, Xiaoju Kuaizhi, showed revenue fell 8% to $ 21.63 billion last year, as passenger numbers declined during the pandemic. The company lost $ 1.6 billion last year, although it reported a profit of $ 30 million in the first quarter of this year. Like most ridesharing companies, Didi has still not been profitable.
Didi said an IPO will fund an expansion.
“We aspire to become a truly global technology company,” wrote Didi founders Cheng Wei and Jean Liu in a letter attached to the dossier. “What we have learned and built is relevant around the world – in Latin America, Russia, South Africa or wherever affordable, safe and convenient mobility is valued. “
Other ridesharing services have reported a recovery in business. Last month, Uber revenue for the first three months of the year, excluding settlement fees, increased 8% from a year ago to $ 3.5 billion. The company lost $ 108 million.