Early this morning, the travel giant Didi went public in a low-key manner. It soared by 27% immediately after its listing. However, the stock price opened higher and moved lower, and the closing increase narrowed to 1%.
As of the close of the day, Didi’s market value exceeded 400 billion. Venture capital funds also made a lot of money, with Tiger Global making 6.4 billion and SoftBank making 11 billion. Didi founder Cheng Wei's net worth is close to 30 billion, surpassing Li Ka-shing's son. Its president Liu Qing also has a very high net worth, approximately 7 billion yuan.
On Wednesday, U.S. stocks also ushered in the end of the first half of the year. The performance of the three major stock indexes that day was relatively flat, while the rise of Chinese concept stocks was too strong. Dingdong Maicai, a fresh food e-commerce company, closed up over 60%, and Pop Culture, the first hip-hop stock, soared 405% on its first day of listing.
Didi opened high and closed up 1 on its first day of listing, with a market value of over 400 billion
On Wednesday, Eastern Time, Didi was officially listed on the New York Stock Exchange with the stock code As "DIDI", the issuance price is US$14, which is at the upper end of the issuance range of US$13-14/ADS.
On listing Sunday, Didi’s stock price opened high and moved low. It once rose by more than 28 points shortly after the opening, and the closing increase narrowed to 1. The amplitude throughout the day was nearly 28 points, and the market value once exceeded 500 billion yuan. As of the close, Didi's market value was US$677.93, equivalent to approximately 437.7 billion yuan.
After the U.S. stock market closed, MSCI announced that it will add Didi ADR to the MSCI China All Stock Index, which will take effect from July 15, 2021. FTSE Russell also announced that Didi ADR will be included in the FTSE Russell Global Equity Index, the FTSE Russell Global Large Cap Index and the FTSE Russell Emerging Markets Index, effective July 8, 2021.
Public information shows that Didi’s IPO was underwritten by Goldman Sachs, Morgan Stanley, JPMorgan Chase and China Renaissance. In terms of the use of the raised funds, Didi plans to use about 30% of the raised funds to expand its business in the international market; about 30% of the raised funds will be used to improve its technical capabilities in shared travel, electric vehicles and autonomous driving. ; About 20% will be used to launch new products and expand existing product categories to continuously improve user experience; the remainder may be used for working capital needs and potential strategic investments.
According to its prospectus, Didi Chuxing’s revenue in 2018, 2019 and 2020 were 135.3 billion yuan, 154.8 billion yuan and 141.7 billion yuan respectively. In the first three months as of March 31, 2021, Didi's revenue has reached 42.163 billion yuan ($6.4 billion).
In terms of profit performance, Didi has turned a profit after three consecutive years of losses. The prospectus shows that Didi’s net losses in 2018, 2019 and 2020 were 15 billion yuan, 9.7 billion yuan and 10.6 billion yuan respectively. In the first quarter of 2021, Didi’s profit reached 5.483 billion yuan.
In terms of user data, in the 12 months ended March 31, 2021, Didi had 493 million global annual active users and 15 million global annual active drivers. Among them, China has 377 million annual active users and 13 million annual active drivers.
In terms of transaction volume, in the 12 months ending March 31, 2021, Didi’s global average daily transaction volume was 41 million orders, and the total transaction volume of the entire platform was 341 billion yuan. In the three years from January 1, 2018 to March 31, 2021, the total income of platform drivers was approximately 600 billion yuan.
Founder Cheng Wei’s net worth of nearly 30 billion exceeds that of Li Ka-shing’s son
Didi’s prospectus shows that before the IPO, its founder Cheng Wei’s shareholding ratio was 7; after the IPO, Cheng maintained his shareholding ratio The ratio is 6.5, with 35.5 voting rights.
Based on an estimated shareholding ratio of 6.5, as of the close of trading on Wednesday Eastern Time, the value of Cheng Wei’s Didi shares was US$4.407 billion, or approximately 28.5 billion yuan.
According to Forbes’ real-time rich list, Li Ka-shing’s son Richard Li has a net worth of US$4.4 billion. This means that Cheng Wei’s net worth exceeds that of Li Zekai.
Public information shows that Cheng Wei was born in 1983 and worked for Alibaba Group for eight years. In 2012, 29-year-old Cheng Wei founded Xiaoju Technology and launched the mobile taxi-hailing app Didi Dache in Zhongguancun, Beijing. On October 18, 2016, the 2016 Hurun IT Rich List was released, and Cheng Wei ranked 28th with 12 billion yuan.
Didi President Liu Qing also has a very high net worth. According to his shareholding ratio of 1.6, his net worth is estimated to be approximately US$1.084 billion, or approximately 7 billion yuan.
Tiger Global Fund made a huge profit of 6.4 billion
On the day Didi went public, Bloomberg quoted people familiar with the matter as reporting that Tiger Global Fund had first invested in Didi during its Series C financing in 2014. company. People familiar with the matter said that before the IPO, the fund invested US$100 million in Didi for the first time. Most of these investments were made in 2014, and the fund later sold part of Didi's equity. According to people familiar with the matter, Tiger Global’s investment in Didi resulted in a profit of US$1 billion (approximately 6.456 billion yuan). At present, a spokesman for the fund company declined to comment.
SoftBank’s shareholding ratio exceeded 20 and made a huge profit of 11 billion, but the return rate was only 14
According to The Information, before Didi went public, the president of SoftBank Group under Masayoshi Son *** Approximately $12 billion was invested in Didi.
According to Didi’s prospectus, after the IPO, SoftBank’s shareholding ratio in Didi was 20.02%. As of Wednesday’s close, the market value of this shareholding was US$13.7 billion. This means that currently, SoftBank has earned approximately US$1.7 billion from its investment in Didi, which is approximately 11 billion yuan, with a return rate of approximately 14.16.
Even if SoftBank is Didi’s largest shareholder, SoftBank only enjoys 10.7 voting rights, and its appointed board members will also withdraw from the board of directors after Didi’s listing.
Dingdong Maicai also soared, nearly doubling at one point during the session, and closing up over 60
On Wednesday, Dingdong Maicai, which had just been listed on the market, also soared, and at one point rose over 60% during the session. 95, triggering at least two circuit breakers.
As of the close of trading, the market value of Dingdong Maicai reached US$9.027 billion (approximately RMB 58.3 billion), which is 4.4 times that of Daily Youxian (the current market value of Daily Youxian is US$2.037 billion) .
Interestingly, since the code of Dingdong Maicai is DDL, which is very similar to Didi’s code, some analysts said that Dingdong’s surge may be because American retail investors mistook Dingdong for Didi.
A Chinese concept stock soared by 405 on its first day of listing and hit at least 9 circuit breakers
In addition to Dingdong Maicai, there was also a Chinese concept stock that soared on Wednesday, which was listed on Wednesday. Chinese hip-hop trend company Pop Culture.
Shortly after its listing, the company skyrocketed and hit circuit breakers many times. The increase once reached 465. As of the close, the company's gains narrowed to 405, and the stock hit circuit breakers at least nine times throughout Wednesday.
Public information shows that Pop Culture was founded in 2007 and is headquartered in Xiamen, China. Its main business is hip-hop cultural content operation, including online hip-hop program operation, event hosting and related training.
According to its prospectus, in the fiscal year ending June 30, 2019, the company achieved total revenue of US$19 million. In the fiscal year ending June 30, 2020, the company achieved Total revenue was US$15.7 million, down year-on-year.
The three major U.S. stock indexes all ended the first half of the year with gains of more than 12%.
This Wednesday is the last trading day for U.S. stocks in the first half of the year. On that day, driven by economic data, the Dow Jones Industrial Average , S&P 500 index rose, only the Nasdaq fell slightly.
On the same day, the ADP report showed that the number of manufacturing jobs in the United States increased by 19,000 in June, compared with an increase of 52,000 in May.
Employment in the construction industry increased by 47,000 in June, compared with an increase of 65,000 in May. Employment in trade, transportation, and public utilities increased by 62,000 in June, compared with an increase of 118,000 in May. Employment in the financial services industry increased by 10,000 in June, compared with an increase of 20,000 in May. Employment in professional/business services increased by 53,000 in June, compared with an increase of 68,000 in May.
As of the close, the Dow Jones Index rose more than 200 points to 34502.51 points. The S&P 500 index rose 0.13 to 4,297.50 points. The Nasdaq index fell 0.17 to 14503.95 points.
In the first half of this year, the Dow Jones Industrial Average rose 12.73, the Nasdaq rose 12.54, and the S&P 500 Index rose the highest, at 14.41.