Uber Technologies Inc. just took a big step toward being ready for an initial public offering: bailing out of its China business by selling the unit to ride-hailing competitor Didi Chuxing.
While Uber Chief Executive Officer Travis Kalanick has said he plans to wait as long as possible before going public, throttling losses in China was one of the main things holding up a potential IPO, people familiar with the matter said last month. Uber had been spending at least $1 billion a year to fight market-leader Didi in the Beijing-based company’s home market, and has already lost $2 billion in China, separate people familiar with the details have said.
