(Reuters) – Uber Technologies Inc has decided to sell around $ 10 billion in shares in its original public offering, and will announce the listing of the offer on Thursday, known to people familiar with the case on Tuesday.
FILE PHOTO: The Uber hub is seen in Redondo Beach, California, USA March 25, 2019. REUTERS / Lucy Nicholson
An IPO of this size would make Uber one of the greatest technology productions of all time and the largest since the Chinese e-commerce giant Alibaba Group Holding Ltd in 2014.
Uber seeks a valuation of between $ 90 billion and $ 100 billion, influenced by the poor development of less competing Lyft Inc. shares following its IPO last month, the sources said. . Investment bankers previously told Uber it could be worth as much as $ 120 billion.
Uber was recently valued at $ 76 billion in the private fund for training.
Most of the shares sold will be issued by the company, while a smaller portion will be owned by Uber investors who pay out, one of the sources said.
Uber plans to make its IPO registration with the US Securities and Exchange Commission publicly available on Thursday, and will kick off its investor roadshow during the week of April 29, thus praising its IPO and starting to trade. The New York Stock Exchange in early May said the sources.
The sources warned that the plans are still subject to changes and market conditions, and asked not to be identified because the case is confidential.
A representative of Uber refused to comment.
Lift & # 39; s IPO was priced at the top of the upside last month, giving it over $ 24 billion in a $ 2.34 billion offer. But the stock has traded poorly since its debut on the Nasdaq March 29, as concerns about the start-up path to profitability have become more prominent. The shares ended trading on Tuesday at $ 67.44, well below their $ 72 IPO price.
By moderating the valuation expectations, Uber shows a realism that is increasingly being adopted by Silicon Valley unicorns, as stock market investors push back against some of the high price tags sought.
On Monday, Pinterest Inc. set a price range for its IPO worth $ 12 billion that the online image search company achieved its latest private fundraising in 2017.
Uber operates in more than 70 countries. In addition to bicycle rentals, the business includes bicycle and scooter rentals, cargo handling, food delivery and an expensive car driving.
During the IPO roadshow, Uber's CEO Dara Khosrowshahi will take convincing investors that he has successfully changed the company's culture and business practices following a series of embarrassing scandals over the past two years.
They have included allegations of sexual harassment, a massive data breach hidden from regulators, the use of illegal software to avoid authorities and allegations of bribery abroad.
Last year, Uber had sales of $ 11.3 billion, while gross orders from rides were $ 50 billion. But the company lost $ 3.3 billion, excluding gains from the sale of its foreign business units in Russia and Southeast Asia.
Reporting by Joshua Franklin and Carl O & # 39; Donnell in New York; Additional reporting by Liana B. Baker in New York; Editing by Leslie Adler