AAA Uber to gear up for IPO within 36 months

Uber to gear up for IPO within 36 months

Uber, the US-based ride hailing platform backed by a multitude of corporates such as diversified conglomerate Alphabet, will seek an initial public offering within 18 to 36 months, TechCrunch reported yesterday.

The news is based on statements made by Dara Khosrowshahi, who was named chief executive of Uber this week, joining from travel company Expedia. He will start his new job on September 5.

Khosrowshahi also committed to paying the bills by focusing on Uber’s core business and taking big shots to secure the company’s future. Some of his first responsibilities will include hiring a chief operating officer and a chief financial officer.

Uber is currently valued at approximately $70bn, though its investor Benchmark Capital recently said it expects that figure to rise to $100bn within the next two years.

Before a flotation, Uber however still faces a lawsuit by Waymo, a self-driving technology subsidiary of conglomerate Alphabet that alleges Uber illegally acquired its technology, and a legal fight between Benchmark and Uber founder Travis Kalanick concerning the latter’s decision to take a board seat immediately after being fired as CEO.

An initial public offering by Uber would provide an exit to investors including insurance providers Ping An and China Life Insurance, internet company Baidu, media company Times Group, software developer Microsoft, carmaker Toyota as well as ride-sharing company Didi Chuxing and GV, a corporate venturing subsidiary of Alphabet.

Public Investment Fund (PIF), the sovereign wealth fund of Saudi Arabia, is also a shareholder.

A host of other firms have also invested in the company, such as Citic Bank, Hillhouse Capital, Sequoia Capital, TPG, Fidelity Investments, Wellington Management, Kleiner Perkins Caufield & Byers, Menlo Ventures, Data Collective, CrunchFund, Goldman Sachs, BlackRock, Lowercase Capital, First Round Capital, New Enterprise Associates and Innovation Endeavors.

Leave a comment

Your email address will not be published. Required fields are marked *