Uber seeks market value of over $90bn in share sale

Uber is seeking a market value just above $90bn in its planned flotation, according to documents filed with regulators.

The ride hailing firm said it planned to offer 180 million shares in its Initial Public Offering (IPO) at a price of between $44-per share to $50-per share.

There would be an additional 27 million shares sold by current equity holders, Uber said.

It had been widely reported in US media that Uber had reduced its top valuation from a more lofty $120bn following a lacklustre stock market debut for its largest rival in North America, Lyft.

While Lyft’s shares climbed when trading first began last month, Lyft’s market value has plummeted since – down by 22% ahead of Friday’s opening.

In the filing with the Securities and Exchange Commission, Uber revealed the path to profitability would likely be a rocky road for investors.

It reported a net loss of $1bn for the first quarter of the year on revenues of roughly $3bn.

More from Business

It said its shares would trade on the New York Stock Exchange under the ticker name UBER.

Uber also said PayPal had agreed to purchase $500m of stock in a private placement as the pair embark on a venture to create a digital wallet for customers.

More follows…

Source: SKY NEWS

Please follow and like us:
error