BEIJING, May 23 (TMTPOST) — Chinese mobility service provider Didi Chuxing (NYSE: DIDI) has informed the New York Stock Exchange of its delisting decision. 

The company’s shareholders voted on Monday for the company to delist from the U.S. stock market to get Didi’s services back to Chinese app stores after being kicked out last August. Didi’s delisting decision will become effective ten days after the submission of its delisting application.

To comply with China's cybersecurity regulations, Didi will not apply for a public listing on another stock market prior to the completion of the delisting, the company said in the announcement.

Didi also said that the delisting will benefit the shareholders and help the company resume normal operation and improve performance. The company might seek a public listing on a different stock market following the resumption of normal operations.

The company announced in December 2021 that it would start the delisting process on the New York Stock Exchange and work to be listed in Hong Kong.

Didi shares rose by nearly 1% in the U.S. after trading started on Monday, setting the company’s valuation at around US$7.38 billion. Didi’s shares have plummeted by 90% since its IPO, losing US$60 billion in market value.

Didi has not been able to sign up new users since the Chinese government launched a cybersecurity crackdown on the country’s tech sector just days after Didi’s IPO. Didi’s mobile application was banned from mobile application marketplaces in China for illegally acquiring users’ personal information. Didi’s revenues have been shrinking since the crackdown.

However, Didi is uncertain whether its proposed rectification measures, including delisting, would allow it to resume normal operation.

Founded in 2012, Didi is a Chinese vehicle for hire company headquartered in Beijing. As of December 2021, Didi Chuxing led the ride-hailing apps in China with roughly 58 million monthly active users, outstripping the second placeholder, Hello Chuxing, by more than double its user base.