Home business Uber focuses on raising $ 10bn in IPO next month

Uber focuses on raising $ 10bn in IPO next month

Uber is aiming to raise $ 10 billion next month through its IPO, according to a person familiar with the case, in a listing that is expected to be the largest this year and that could match Facebook as the largest US market debut ever .

The American drivers will make their registration documents public on Thursday and a road show for investors is scheduled for April 29, the person said. The company wants to list its shares on the New York Stock Exchange on 10 May.

Uber declined to comment. The deal size was first reported by Reuters.

Investors have been eagerly awaiting the launch of Uber. It is the defining technological start-up of his generation of companies that have received huge valuations from private investors, while waiting much longer than previous Silicon Valley darlings to enter the public markets.

$ 100 billion


Uber & # 39; s potential valuation

Uber was estimated at $ 76 billion during the last private fund-raising round, but bankers and investors expect it to achieve a valuation of more than $ 100 billion at the IPO. The offer is led by Morgan Stanley and Goldman Sachs.

The application will give investors detailed details about Uber & # 39; s financial performance, competitive position, how it makes and loses money, as well as disclosures about the long history of legal and regulatory battles.

The company with deep losses has been reporting selected financial results to investors for several years. Net sales increased 43 percent last year to $ 11.3 billion out of $ 50 billion in gross bookings. Losses, excluding a paper gain from the sale of companies in Russia and Southeast Asia, fell in 2017 from $ 4.5 billion to $ 3.3 billion.

Uber's activities range from booking cars and delivering food on different continents to freight booking and flying taxis, and it spends a lot of time researching autonomous driving technology.

The company is fully engaged with its IPO in the midst of what some have called an IPO "supercycle", with some of the largest and most notable American technology companies on the list.

In 2012 Facebook raised $ 16 billion, the most revenue for an American IPO, according to Dealogic. Alibaba was the largest global IPO in history and raised $ 25 billion in 2014.

Uber follows rival Lyft, who raised more than $ 2 billion in an IPO last month, who was initially greeted with robust investor demand, but has since remained in the aftermarket. The shares closed 4 percent on Tuesday at $ 67.44, below their issue price of $ 72.

In a sign of how companies can dampen expectations to better reflect investor enthusiasm, Pinterest, the image sharing platform, has set a price range of $ 15- $ 17 per share for the 75m shares the following week want to sell. That causes a capital increase of up to $ 1.3 billion on what could be a "downround".

If Pinterest costs the IPO at the midpoint of $ 16 of the indicated range, it would sell its shares at a 26 percent discount on the $ 21.54 price it achieved in its last private round of fundraising in 2017.

This story has been adjusted since the publication to change the date that Uber wants to be listed on the New York Stock Exchange from 9 May to 10 May.

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