Report by The Wall Street Journal on Didi Global Inc. is considering going private turns out to be false. Anonymous sources said that to calm authorities in China and compensate investors for losses suffered, the ride-hailing giant was close to delisting at a 14$ per share. Didi denied the WSJ report on Thursday,  according to Bloomberg.

  • The Chinese company has been in discussions with investment bankers, regulators, and key investors on how to resolve some of the problems that came after Didi listed on the New York Stock Exchange.
  • A take-private deal that would involve a tender offer for its publicly traded shares is one of the initial options being considered.
  • Didi raised close to $4.4 billion in its IPO after selling American depositary shares at $14 per share, in the biggest stock sale by a Chinese company since the 2014 listing of Alibaba Group Holding ltd.
  • Its shares rose to $18 in the first trading days, before Cyberspace Administration of China stunned investors and the company on July 2 by launching a data-security investigation into Didi.

The unexpected regulator moves caused Didi-shares to plunge below their IPO price. Didi’s shares increased around 35% in premarket trading on Thursday after the report of their privatization plan.

DIDI up 10.32%.