China's Didi adds banks to work on mega U.S IPO, sources say

China Renaissance Holdings

17/06/2021 13:13

By Scott Murdoch
    HONG KONG, June 17 (Reuters) - China's biggest ride-hailing
company Didi Chuixing has appointed five more investment banks
to work as book runners on its U.S initial public offering (IPO)
worth up to $10 billion, sources with direct knowledge of the
matter said.
    Didi, whose IPO could be the largest by a Chinese firm in
the United States in seven years, has given mandates to Bank of
America BAC.N  , Barclays  BARC.L ,  China International Capital
Corp (CICC)  601955.SS  Citigroup  C.N  and HSBC Holdings
 HSBA.L  as book runners on the deal, the sources said.
    Didi not respond to a request for comment from Reuters. Bank
of America, Barclays, CICC, Citigroup and HSBC declined to
comment on the appointment.
    Reuters reported on Thursday that China's market regulator
had begun an antitrust probe into Didi, three people with
knowledge of the matter said.  urn:newsml:reuters.com:*:nL2N2NZ06E
    The company said of that issue that it would not comment on
"unsubstantiated speculation" from unnamed sources.
    The syndicate expansion was first reported by IFR.
    The bank have been appointed in junior roles, which means
they will work alongside Goldman Sachs  GS.N , Morgan Stanley
 MS.N  and JPMorgan  JPM.N  leading the deal, according to the
firm's filings with the U.S. Securities and Exchange Commission
(SEC). 
    China Renaissance  1911.HK  is listed on the filing as a
co-manager of the IPO.
    Reuters previously reported Didi could raise up to $10
billion in an IPO that would value the firm at up to $100
billion. [nL1N2LM0V7.
    At that size, it would be the largest IPO by a Chinese
company in the United States since Alibaba raised $25 billion
2014.
    

 (Reporting by Scott Murdoch in Hong Kong; Editing by Edmund
Blair)
 ((Scott.Murdoch@thomsonreuters.com;))