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Uber’s Shares Fall On Softbank Report

According to CNBC sources, SoftBank is offloading its significant stake of Uber shares, around $2bn worth of shares, to help cover what it has lost by speculating on an upsized IPO of the Chinese ride-hailing firm Didi that gained over $67.5 billion valuation ahead of its highly overrated debut on the New York Stockin New York last month.

The Japanese conglomerate Softbank bet big on money-losing tech startup Didi ahead of its IPO on 30 June, but since then DiDi shares have crashed by over 40 per cent after regulatory actions by China worried investors. Weeks before Didi went public in the U.S., China's cybersecurity watchdog suggested the Chinese ride-hailing giant delay its initial public offering and urged it to conduct a thorough self-examination of its network security, WSJ reported

SoftBank is Didi’s largest shareholder, with a stake of over 20 per cent.

Uber’s shares had fallen by as much as 5 per cent in aftermarket trading Didi shares have fallen by almost 40% since they started trading on the New York Stock Exchange on 30 June.

The headline, first brought by CNBC, causes a next blow for the Saudi-backed $100 billion Vision Fund. Didi is known for pushing Uber out of the Chinese market.

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