China’s Didi Pays $740 Million to Settle Lawsuit Over US IPO

Didi Global Inc. agreed to pay $740 million to settle a shareholder lawsuit targeting the handling of its turbulent 2021 IPO, swallowing a one-time charge that pushed China’s ride-hailing leader into the red.

The company disclosed the settlement Thursday alongside quarterly results. Didi recorded a loss of 2.5 billion yuan ($351 million) for the June quarter, versus a profit of 854 million yuan a year earlier. Revenue grew 11% to 56.4 billion yuan, driven by the increase of transactions on its platform.

Known as China’s answer to Uber Technologies Inc., Beijing-based Didi debuted in New York in 2021 to ...