View all newsletters
Receive our newsletter - data, insights and analysis delivered to you

SoftBank aims to bag an Uber bargain with 30 percent discount offer

SoftBank appears to be aiming to secure an influential stake Uber, making a discounted offer that would value to famous startup at just $48 billion.

By Tom Ball

SoftBank has offered to buy shares in Uber at a 30 per cent discount, potentially looking to secure a significant stake in the globally famous business.

Putting the discount in perspective, the offer would value the company at $48 billion, a shadow of the last valuation of the company that came close $70 billion.

The Japanese behemoth is leading a group of other organisations in joint pursuit of the Uber stake, with the goal of gaining control of a 14 per cent of the company. If the consortium can reach this mark, a tender offer will be initiated.

SoftBank aims to bag an Uber bargain with 30 percent discount offer

SoftBank has already had dealings with Uber, with the startup having agreed to a major investment in recent months, hoping to gain an injection to fuel its progress.

In the event of SoftBank securing the significant stake in Uber, major changes have been lined up, particular at the top of the organisation.

A main requirement would be that the ex-Uber CEO, Travis Kalanick, would be allowed less of a say in the movements of the organisation. Plans have also been outlined for the board to grow significantly, with 11 positions growing to 17.

Content from our partners
Green for go: Transforming trade in the UK
Manufacturers are switching to personalised customer experience amid fierce competition
How many ends in end-to-end service orchestration?
NHS remedies cybersecurity weakness with £20m hacker unit

 

Hull – The City of Culture and cryptocurrency innovation

 

PSD2 nears as UK Open Banking accounts for more products

 

SoftBank may struggle to get current shareholders to sell at the dramatically reduced price, but Uber’s value is facing significant damage following recent events.

The famous startup was found to have been hit by a major data breach in which 57 million sets of customer and driver data was stolen. This was not the most concerning factor, however, as executives during 2016 attempted to pay off the hackers so the data could be deleted, preventing the incident coming to the attention of the public.

This may prove to be the most indelible black mark that the company has so far earned, with the incoming GDPR regulation casting a particularly long and dark shadow over the reprehensible activity.

Topics in this article : , ,
Websites in our network
Select and enter your corporate email address Tech Monitor's research, insight and analysis examines the frontiers of digital transformation to help tech leaders navigate the future. Our Changelog newsletter delivers our best work to your inbox every week.
  • CIO
  • CTO
  • CISO
  • CSO
  • CFO
  • CDO
  • CEO
  • Architect Founder
  • MD
  • Director
  • Manager
  • Other
Visit our privacy policy for more information about our services, how New Statesman Media Group may use, process and share your personal data, including information on your rights in respect of your personal data and how you can unsubscribe from future marketing communications. Our services are intended for corporate subscribers and you warrant that the email address submitted is your corporate email address.
THANK YOU