Uber, the ipo internal "Project Liberty", says one of the insiders at The Wall Street Journal. On the other hand Uber's rival, Lyft has been in planning to go for the public in the next year also, but it seems like Uber is trying to steal the thunder of Lyft. The company was valued at $15 billion in a private fundraising round, could go public as early as the first quarter of next year. "It sounds like Uber is trying to steal Lyft's thunder", said Matt Kennedy, senior IPO market strategist at Renaissance Capital, an institutional IPO research firm.
This story is developing.
Uber filed paperwork this week for an initial public offering setting up a race with competitor Lyft to be the first to go public, reports indicate. Uber's valuation could reportedly reach as much as $120 billion after IPO whereas the company's current value sits at $76 billion. It lost $1.1 billion in the three months ending in September and brought in revenue of $3 billion.
Both these companies took hits to the bottom lines for attracting drivers as well as entering the untapped markets, although both of them strides to narrow their losses in the recent years.
Founded in 2009 by Travis Kalanick, Uber has raised nearly $20 billion from investors such as Japan's SoftBank and Toyota. Investors in Uber include Japan's Toyota, Saudi Arabia's Public Investment Fund, Jeff Bezos, the founder and CEO of Amazon, Fidelity Investments, Softbank, Tencent, Alphabet, Microsoft, BlackRock, and China's DiDi Chuxing. It's growth also slowed to 38% amid rising competition globally as well as that from Lyft in its traditionally strong USA market.
The ride service was set up in 2012 by entrepreneurs John Zimmer and Logan Green and has raised close to $5 billion from investors.
Earlier this year, Lyft said it had 35 percent of the US ride-hailing market. The local taxi industry had provided to the emerging US competitor, contrary to; in a landmark decision, the regional court in Frankfurt had held that a Service of Uber, the rides, with private people in their own cars, the competition was illegal.