Published: Sat, March 16, 2019
Finance | By Loren Pratt

Uber plans to kick off IPO in April, sources say

Uber plans to kick off IPO in April, sources say

SoftBank Group Corp and Toyota Motor Corp are said to be in a discussion of investing $1 billion or more into the self-driving unit of Uber Technologies Inc., raising the value of the unit to $10 billion from $5 billion. The plans aren't finalised and could fall apart.

The investment would reportedly be specifically in Uber's self-driving technology department, and comes as Uber is heading towards an initial public offering of stock.

In April, Uber will file its required S-1 public disclosure with the U.S. Securities and Exchange Commission (SEC) and will then launch its investor roadshow. The company has burned through more than $10bn in its lifetime, and the development of autonomous cars accounts for a sizeable chunk. Uber assembled the early team by pillaging a Carnegie Mellon lab, which sparked a backlash in the academic community.

Uber has been in a race with Google-owned Waymo and a host of other companies, including major automakers, to develop self-driving vehicles.


Uber, which past year lost about $3.3 billion, is betting on a transition to self-driving cars to eliminate the need to pay drivers.

Since Uber still has weeks of preparation before releasing third IPO, Lyft has a great shot at issuing Lyft IPO before Uber gets a chance to do so, which will help the company avoid being overshadowed by Uber that undoubtedly has more operational force in oppose to Lyft. But he has indicated a desire to continue developing autonomous cars in the hope that Uber will lead the way to a possible future where robots replace human drivers.

Talking point: The move would shore up Uber's self-driving unit ahead of its IPO, which is expected this year.

Uber has been exploring a deal to bring on outside investors for the self-driving business since past year. SoftBank has invested $2.25 billion in General Motors Co's self-driving unit Cruise, which has also received funds from Honda Motor.

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