Ousted Uber boss Travis Kalanick plans to sell 29 per cent of his stake in the US ridesharing giant for about USD 1.4 billion, Bloomberg reported, citing an unnamed source familiar with the matter.
Kalanick, who co-founded the company and owns 10 per cent of it, would sell the shares as part of the deal that will see a group of investors led by Japanese tech titan SoftBank acquire a major stake in Uber.
The new investment, which will be finalised in January, was based on calculations valuing Uber at USD 48 billion, Bloomberg said yesterday.
Uber is seeking to move past a series of scandals and missteps and reform its board structure as it gears up for a 2019 public share offering.
Kalanick was ousted as CEO in June, but retains a seat on Uber’s board.
Even as Uber has seen unprecedented growth by expanding to dozens of countries, it has been hurt by missteps including allegations of executive misconduct, a toxic work atmosphere and potentially unethical competitive practices.
It has also been sued by Waymo — previously known as the Google self-driving car unit — which says Uber swiped its technology.
According to Bloomberg, Kalanick initially wanted to sell up to half of his shares but was unable to do so under the terms of the deal with Uber’s new investors. (AFP) PMS
This is published unedited from the PTI feed.