Chinese authorities insist they must conduct a cybersecurity review of Didi Global before the ride-hailing giant can resume normal operations, the company said on Thursday.
The company had angered Chinese regulators by pushing ahead with a $4.4 billion listing in the US despite being asked to put it on hold.
Days after Didi went public last June, China’s internet watchdog began a cybersecurity review of its handling of domestic user data and ordered app stores to remove its mobile apps operated by Didi.
In Thursday’s filing, the company said it had already made rectifications to comply with the review, such as improving internal management mechanisms for data security.
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Must Finish Delisting
But it must also finish a planned delisting from the New York exchange for the review to be wrapped up, it added.
Didi has been unable to register new users since the regulator began its review.
Within six months of its listing, it succumbed to Beijing’s regulatory tightening and said it would delist its American Depositary Shares (ADR) in favour of a listing in Hong Kong. Didi shareholders are set to vote on May 23 on the ADR delisting plans.
However, in an annual filing this month, Didi said it was cooperating with an investigation launched by the US Securities Exchange Commission into the New York IPO, without giving further details.
- Reuters, with additional editing by George Russell
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