Didi Chuxing lands US$5.5 billion new funding

Chinese ride-hailing service giant Didi Chuxing confirmed today that it has finalized a funding round of over US$ 5.5 billion, local media is reporting.

Although the company did not reveal its investors or valuation in the new round, it is estimated that the company’s valuation may top US$ 50 billion.

The new funds will be used to promote the company’s global expansion strategy and investment in the field of cutting-edge technologies.

Investors in this round reportedly include Silver Lake Kraftwerk, SoftBank, and China Merchants Bank.

In addition, Didi made no comment on an earlier report that new investors will not have traditional voting rights as Didi’s management reserves voting control under a proxy arrangement. After this new round of funding, the company management’s shares will be further diluted to 7.48% from 8.4% following the previous round.

Didi Chuxing said they have already had the capability to make systemic breakthroughs in intelligent driving and smart transportation fields, with its advantages in AI technology.

The company has formed a research institute in Silicon Valley in the United States, aiming to attract top talents and unleash more investment opportunities in core technologies.

Didi has raised over US$ 10 billion in debt and equity from investors including conglomerates such as Apple, Tencent and Alibaba.