What kind of sensitive data would a China ride-hailing company leak or disclose?
From a December 2021 media report ...
Chinese ride-hail giant DiDi said it will delist from the New York
Stock Exchange, following a Chinese government crackdown on foreign
listings... Backstory: DiDi isn't just the Uber of China. It's the
company that beat Uber in China, buying up the U.S. company's business
before going public this past June at a $73 billion valuation... What
wasn't known at the time was that Chinese officials had asked DiDi to
postpone the IPO, over concerns that sensitive data could fall into
A stock listed on the New York Stock Exchange has to file annual and quarterly reports. The annual financial statements have to be audited. The auditor has to be responsive to the PCAOB (Public Company Accounting Oversight Board).
We remain concerned about our lack of access in China and will
continue to pursue available options to support the interests of
investors and the public interest through the preparation of
informative, accurate, and independent audit reports.
This matter about accessing auditors in China is being negotiated. Presumably when this matter is settled, it will not affect DiDi because it will no longer be listed on the NYSE. Presumably other companies will be affected such as China Life Insurance which has been listed on the NYSE since 2003.
Company reports typically discuss the revenue and profit earned in a recent period, and some statistics related to the business. For ride-hailing it might include, for example, the average number of monthly users, the average number of rides per user, customers gained, changes in driver enrollment, and plans for retained earnings or further investment. The conference call to discuss the report would cover these same matters and some discussion about the outlook. What kind of sensitive data is China's government worried about?