Uber plans to kick off IPO in April: report

March 15, 2019 09:21
Uber is said to eye a valuation as high as US$120 billion in its upcoming IPO. Photo: Bloomberg

Ride-hailing services giant Uber Technologies is planning to kick off much-anticipated initial public offering in April, Reuters reports, citing people familiar with the matter.

Uber will issue its required public disclosure, known as an S-1, next month and launch a marketing roadshow, setting in motion its Wall Street debut, the report said.

The timing for Uber’s IPO means it will most likely hit public markets soon after smaller rival Lyft completes its own public offering, which is expected to happen by the end of March.

Uber, most recently valued at US$76 billion in the private market, is seeking a valuation as high as US$120 billion, although some analysts have pegged its value closer to US$100 billion based on selected financial figures it has disclosed.

Lyft, meanwhile, is said to be seeking a valuation of US$20-25 billion, up from its US$15 billion valuation as a private company.

The two companies are positioned to kick off a string of hotly anticipated public debuts from highly valued tech companies, energizing the IPO market after a quiet start to the year, Reuters noted.

Uber’s revenue last year was US$11.3 billion, while its gross bookings from rides were US$50 billion. But the company lost US$3.3 billion, excluding gains from the sale of its overseas business units in Russia and Southeast Asia.

Lyft’s revenue for last year was US$2.2 billion, with US$8.1 billion in gross ride bookings. The company lost US$911 million.

Uber’s business operates in more than 70 countries and includes not only ride-hailing but also bike- and scooter-rentals, freight hauling, food delivery and an expensive self-driving car division.

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