Uber to go public ‘at more than 100 billion dollar’
Sources close to the dossier indicate that Uber is on track for an IPO in 2019. The ride-hailing company should enter the stock market at more than 100 billion dollar, the biggest ever in the technology sector.
Ever since CEO, Dara Khosrowshahi, took the helm of Uber in august 2017, he mentioned that the company would go public. According to sources close to the dossier, this stock market introduction could take place during next year’s first semester, sooner than expected.
100 billion dollars
Goldman Sachs and Morgan Stanley are presumed to be Uber’s main advisors in this operation. At more than 100 billion dollar, the San Francisco company would make the biggest IPO in the technological sector ever.
Uber would be valued at more than General Motors, Ford and Fiat Chrysler Automobiles (FCA) combined. Last September, the ride-hailing company was valued at 72 billion dollar after a 500 million dollar investment from Toyota.
Dara Khosrowshahi took the seat of CEO back in 2017 after investors worried about scandals pushed Uber’s founder Travis Kalanick out the door. His plan is simple: change the image of Uber. After issues with major cities, court battles, technology theft suspicions and the fatal accident of the autonomous car prototype, the company needed to improve its image.
Even though the group’s lost 891 million dollar during the second semester, Uber still attacks investors thanks to its booming activity. The sales revenue for the second semester went up by 63% to 2,8 billion dollar while reservations increased by 41% to 12 billion.
“The ride-hailing sector is attracting investors because it should be multiplied by eight up to 285 billion dollar by 2030”, details a recent Goldman Sachs study. According to experts, that same sector will see the first real world use of autonomous cars, which is why ride-hailing companies are busy developing the technology. Uber reshaped its program with an emphasis on safety.
Uber also tries to diversify by creating new offers such as food deliveries (UberEats) or free-floating electric bicyles (Jump). Dara Khosrowshahi still has enough on his plate with transport regulation issues in numerous countries, corruptions suspicions or even gender discrimination accusations.
Lyft to go public too?
According to sources, Uber’s major competitor in North American Lyft is also preparing to go public by 2019 but, in contrast to the abovementioned IPO, Lyft’s would be valued at 15,1 billion dollars.