Chinese Ride-hailing Company Dida Chuxing Rumored to Raise $300 Million in Pre-IPO Round

Chinese ride-hailing company Dida Chuxing (Source: Dida)

Bloomberg reports Chinese ride-hailing company Dida Chuxing is expected to raise up to $300 million in a pre-IPO round. The company responded by saying, “We have no comment concerning this information, and up until now no relevant information can be disclosed.”

According to Chinese media Jiemian, in August last year, Dida Chuxing had already begun seeking its last round of financing before an IPO, with a capital requirement of as much as $300 million. People familiar with the matter told the Jiemian reporter that the listing would be the United States, but the specific timing had not yet been determined yet.

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According to that person, after completing this round of financing, Dida hopes that its market value will reach up to $3 billion when it goes public. He also revealed that this round of financing was meant to increase the amount of orders on the platform, and the goal in 2020 was to double the amount to 2 million orders. Half a year ago, the overall daily order volume of Dida was about 1 million orders, including 700,000 orders for its carpool-like hitch service.

Currently, Dida mainly has two business lines: taxis and its hitch ride service. According to its own published data, the Dida hitch service has been launched in 359 cities across the country. In addition, the taxi service on the platform has opened in 86 cities, covering 900,000 taxis and 1.5 million taxi drivers.