Uber Technologies, more commonly known simply as Uber, is the world’s largest transportation network company. Although it was founded a full decade ago, since which the company has firmly established itself as the best in the business, Uber hasn’t gone forth with an initial public offering. Until now, that is.
Recent reports indicate that Uber Technologies will soon be looking to dump off stock worth a total of $10 billion as parts of its IPO. The company’s executives will formally announce the registration of the initial public offering tomorrow, on Thursday, April 11, 2019.
Although there’s no way to tell how much the shares Uber is selling will ultimately be bought for, though it’s certain to say that Uber Technologies’ initial public offering will be one of the largest of all time for tech companies. The Uber IPO will certainly be the largest IPO carried out by a tech company since Alibaba Group Holding came forth with its initial public offering in 2014.
Experts believe that Uber is looking to go forward with the initial public offering at this point in time because it has been influenced by Lyft’s recent IPO. Lyft, another technology network company, didn’t manage to gather as much money as its leaders thought that it would. Uber’s team of executives believes that they know where exactly Lyft went wrong and will be able to capitalize on its shortcomings.
In the past, investment bankers had widely informed Uber that its initial public offering, whenever the company came forward with it, could net a total of $120 billion. However, experts believe that the total valuation of its stock at its initial public offering won’t exceed $100 billion, though it won’t be lower than $90 billion, either, experts say.
The most recent valuation of Uber, as a company, was $76 billion. As such, it’s somewhat safe to assume that the company’s total valuation of its IPO will fall below $90.
The majority of the shares offered by Uber will be issued directly to investors by Uber. A smaller segment of the total number of shares will be sold by investors who are looking to cash out.
Experts believe that the IPO will actually be carried out in the first two weeks of May. It is slated to go forward on the New York Stock Exchange. Uber is available to people who have access to smartphones in some 70-plus countries.