Retail investors added to Didi selloff after delisting news




  • In Business
  • 2021-12-06 18:27:09Z
  • By Reuters
 

NEW YORK (Reuters) - Retail investors have been among those selling shares of Didi Global, which tumbled after the ride-hailing company revealed its plan to withdraw from the New York Stock Exchange.

Retail investors sold a net $3.37 million worth of Didi shares on Friday, data from Vanda Research showed. The stock tumbled 22.2% that day after the company said it plans to pursue a Hong Kong listing, a stunning reversal as it bends to Chinese regulators angered by its U.S. IPO.

Retail investors also sold shares of Didi on Wednesday and Thursday of last week on a net basis, after mostly buying shares of the stock over the past month, according to Vanda's data.

"I believe that most investors do not fully understand how the de-listing process works - or at least they cannot be bothered to know," Giacomo Pierantoni, research analystat Vanda, said in an email. "As a result, they prefer to just get rid of the stock."

Didi shares rebounded on Monday, and were recently up about 8% to $6.56 in early afternoon trading, but are still down over 50% from their June IPO price.

(Reporting by Lewis Krauskopf; Additional reporting by Ira Iosebashvili; Editing by David Gregorio)

COMMENTS

More Related News

Case for Bitcoin Bottom Near $40K Is Weak as Institutions Stay Away
Case for Bitcoin Bottom Near $40K Is Weak as Institutions Stay Away

One observers said traders may be better off trading bitcoin volatility than taking directional bets.

Singapore cbank issues guidelines to discourage crypto trading by public
Singapore cbank issues guidelines to discourage crypto trading by public

The Monetary Authority of Singapore (MAS) on Monday issued guidelines that limit cryptocurrency trading service providers from promoting their services to...

Leave a Comment

Your email address will not be published. Required fields are marked with *

Cancel reply

Comments

Top News: Business