Uber plans to sell its stake in Didi

Uber CEO Dara Khosrowshahi has said that the company is planning to sell its stake in Chinese ride-hailing company Didi, reported Reuters.

The US-based ride-hailing firm exited China in 2016 after it failed to make a breakthrough in the market and encountered fierce competition from Didi. Eventually, Uber sold its China operations to its local competitor in exchange for a stake.

Khosrowshahi also shared his sentiment on the Chinese market, saying that it has a “difficult environment with very little transparency.”

Uber recently reported profitability on an adjusted EBITDA (earnings before interest, tax, depreciation, and amortization) basis for the first time since its launch over a decade ago. The company, however, suffered from a drop in the value of its Didi stake.

Didi itself is facing scrutiny from local regulators over its data protection policies. Earlier this month, the Chinese ride-hailing firm announced that it would be delisting from the New York Stock Exchange.

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