Why Alibaba Shares Are Sliding Today

Shares of several Chinese companies, including Alibaba Group Holding Ltd BABA, are trading lower Friday morning in sympathy with DiDi Global Inc DIDI after the company announced its plans to delist from the New York Stock Exchange.

DiDi said it will ensure that American depositary shares (ADSs) will be convertible into freely tradable shares of the company on another internationally recognized stock exchange at the election of ADS holders.

DiDi announced that it will organize a shareholder meeting to vote on the matter, following necessary procedures.

See Also: Alibaba's Stock Fall Continues: What's Next?

Alibaba operates China's most-visited online marketplaces, including Taobao (consumer-to-consumer) and Tmall (business-to-consumer).

BABA Price Action: Alibaba has traded as high as $274.29 and as low as $119.34 over a 52-week period.

The stock was down 9.02% at $111.09 at time of publication.

Photo: courtesy of Alibaba.