The IPO That Shocked the Market
In June 2021, DiDi Global (ticker: DIDI, now DIDIY on OTC markets) made a splash with a $4.4 billion IPO on the New York Stock Exchange—valuing the ride-hailing giant at nearly $70 billion Investopedia.
But the euphoria didn’t last long. Just days later, Chinese regulators launched a cybersecurity probe, ordering the removal of DiDi’s app from app stores. That sent the stock into a tailspin. By December 2021, DiDi announced plans to delist from the NYSE—becoming one of the most dramatic U.S.-listed debuts in recent memory WikipediaReuters+1.
Post-Delisting Journey: OTC Trading & Sliding Valuation
By mid-2022, DiDi had formally delisted and transitioned to the OTC market under ticker DIDIY Wikipedia. Alongside regulatory sanctions—including a ¥8 billion (~$1.2 billion) fine—its valuation collapsed to around $19–$22 billion, a fraction of its IPO-era worth Reuters+1WikipediaInvesting.com.
The path since then has been one of slow recovery. Early 2025 saw modest revenue gains—Q1 revenue rose 8.5% year-on-year (~¥53.3B or ~$7.4B), and investors like Goldman Sachs resumed coverage with a “Buy” rating and $7.20 target Investing.comReuters.
ADR Price Evolution: From $14 to $6 and Steady
| Timeframe | Price (approx.) | Key Milestones |
|---|---|---|
| June 2021 IPO | $14 | Debut on NYSE |
| Late 2021 | Down ~57% | Post-probe and app removal |
| 2022 | Delisted; OTC begins | Fines and delisting pressure |
| Mid-2025 | ~$6.24 | Stabilization and recovery attempts Investing.com+1 |
From its high, DIDIY has declined more than 50%, but recent months show more stability and incremental upward movement.
What Investors Should Watch Going Forward
1. Regulatory Stability & IPO Hope
DiDi’s future may be tied to its planned secondary listing in Hong Kong, which would signal Beijing’s renewed openness to Chinese tech access to capital abroad Reuters.
2. Financial Recovery Path
While Q1 2025 revenue growth was encouraging, profitability remains a challenge. Investors need to see improved margins and sustained earnings momentum to justify a re-rating.
3. Valuation Compression or Expansion
At a current implied market cap of $25–$30 billion, the potential upside is significant—if operations hold steady and confidence returns.
4. Investor Sentiment & Analyst Coverage
Ratings like Goldman’s “Buy” and a $7.20 target suggest growing institutional optimism. Continued positive coverage may boost valuation improvement.
Final Thoughts
DiDi’s ADR story is more than a chart—it’s a saga. From a blockbuster IPO to regulatory fallout, drastic devaluation, and attempts at resurrection, it encapsulates the highs and lows of modern tech investing.
The risk remains real. But if DiDi can prove consistent performance, re-establish regulatory trust, and diversify or deepen its offerings, it stands to be one of the most compelling recovery stories of the decade—one that could reward both brave long-term holders and risk-aware traders.