NEW YORK, Sept 10 (Reuters) - DiDi Global's

$740 million settlement of a lawsuit claiming it defrauded

investors in connection with its initial public offering is

expected to be submitted for approval by a Manhattan federal

judge in mid-October, a lawyer for the plaintiffs said on

Wednesday.

The class-action lawsuit accused DiDi of concealing and

disobeying a Chinese government order to postpone its June 2021

IPO, which raised more than $4.4 billion and valued DiDi at

about $67.5 billion, until it resolved cybersecurity and privacy

concerns.

Shares of DiDi tumbled in July 2021 as China's cyberspace

regulator, the Cyberspace Administration of China, banned the

company from registering new customers and ordered the removal

of the DiDi Travel app from smartphone app stores.

The regulator fined DiDi $1.2 billion the following July.

In a letter to U.S. District Judge Lewis Kaplan in

Manhattan, the plaintiffs' lawyer said all parties are

negotiating terms of a stipulation of settlement, and requested

that all deadlines in the case be put on hold.

DiDi

disclosed the settlement

last month when it set aside $740 million, equivalent to

5.3 billion yuan, for the accord, leading to an overall

second-quarter loss.

Lawyers for the plaintiffs did not immediately respond

to requests for comment outside business hours. DiDi and its

lawyers did not immediately respond to similar requests.

The case is In re DiDi Global Inc Securities Litigation,

U.S. District Court, Southern District of New York, No.

21-05807.