CHINESE ride-hailing giant Didi Global Inc.’s US$4 billion initial public offering (IPO) received enough investor demand to clinch its targeted price range Friday, people familiar with the matter said. The listing in New York, which will be the biggest U.S. share sale by a Chinese company since Alibaba raised US$25 billion in 2014, is expected to price Tuesday and the shares to start trading Wednesday. Didi’s indicated price range would give it a valuation of US$62.4 billion to US$67.2 billion. Didi was hoping it could command a valuation of as much as US$100 billion. At the new valuation, Didi would be valued more like its U.S. peer Uber Technologies Inc., rather than Grab, Southeast Asia’s biggest ride-hailing and food delivery firm. Didi not respond to a request for comment on its bookbuilding exercise. “Many investors still doubt if Didi can maintain a high growth rate for its core ride-hailing business in China,” said a prospective investor at one Hong Kong-based hedge fund. “Its market share is already very high in big cities, which means there is limited room for its future growth,” the source said. “It’s also challenging for the company to expand in lower-tier cities due to increasing competition from rivals, not to mention the potential impact of a regulatory crackdown.” Didi set a price range of between US$13 and US$14 per American Depositary Share (ADS), a regulatory filing showed Thursday, and said it would offer 288 million such shares in the IPO. At the top of the range, the deal will raise US$4.03 billion. An overallotment option could see the company sell an extra 43.2 million shares to raise up to an extra US$605 million. Investor presentations, led by Didi’s vice president and head of capital markets, David Xu, will run until Tuesday. The roadshow for a U.S. listing of this size is shorter than the usual 10 days of most. Morgan Stanley Investment Management has indicated interest in subscribing for up to US$750 million worth of stock in the IPO and Singapore’s Temasek for US$500 million, Didi’s updated prospectus shows. Didi’s IPO would be sixth largest in the United States during the past decade, topped only by, in addition to Uber, the likes of Alibaba Group Holding Ltd., Facebook Inc. and, most recently, Coupang Inc. (SD-Agencies) | 