Monday, March 27, 2017
Uber fundraising drive values app higher than General Motors
Uber fundraising drive values app higher than General Motors
Ride-hailing app is valued at $62bn making it the world?s most valuable private start-up and outstripping the US car giant?s $55bn worth
Uber Technologies is raising money to expand its ride-hailing app into Asia and for new services such as food and parcel deliveries
Uber Technologies, the company behind the taxi-hailing app, could be valued at more than $60bn (œ40bn) after its latest fundraising round, according to reports.
The San Francisco-based car-booking company hopes to raise as much as $2.1bn in new cash, Bloomberg reported. It has filed paperwork in Delaware detailing the financing plans, which would value the business at $62.5bn. This would exceed General Motors, whose market value is $55.6bn.
In the summer, Uber was valued at $50bn, making it the world?s most valuable private start-up.
Uber, which launched its app more than five years ago, is seeking more funding as it expands into new areas, such as food and package delivery, and rolls out its taxi-hailing service across Asia, particularly in China, where it is spending $1bn. It is working on new technology, including self-driving cars.
Uber faces a growing number of rivals around the world, including Didi Kuaidi in China, Ola in India, GrabTaxi in Singapore and Lyft in the US. Those four companies are teaming up in a global alliance that will make their apps compatible for travellers, they announced on Thursday.
Uber is fighting legal battles around the world, some with its own ?driver-partners?, who are seeking the benefits of employees. In London, black-cab drivers have staged protests against Uber, putting pressure on Transport for London to ensure the US firm is subject to the same kind of regulation as them.
Uber has attracted investments from Tiger Global Management and T. Rowe Price as part of this financing round. Microsoft took part in a previous fundraising. Uber had already raised more than $10bn before the latest fundraising. Tiger also backs Uber?s main three Asian rivals.
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