Softbank to Become Top Shareholder of Uber

January 19, 2018

Silicon Valley- Japan's Softbank Group Corp. will become the top shareholder of Uber Technologies Inc. with a 15 pct stake, according to a U.S. media report.

A Softbank-led consortium has concluded talks with the U.S. ride-hailing company on Thursday over investment totaling approximately 9 billion dollars in the company, the report said.

The consortium has acquired Uber shares from existing shareholders at a 30 pct discount from the most recent valuation. It has also bought new shares issued by Uber.

Travis Kalanick, Uber's co-founder and former chief executive officer, has also sold some of his shareholdings in the company.

Softbank will dispatch senior officials to Uber's board of directors.

With equity stakes in similar ride-hailing businesses in Southeast Asia, India and China, Softbank may play a leading role in industry realignment, industry watchers said.

Kalanick left Uber in June last year after a series of scandals rocked the company. It is working to reconstruct its business with a view to an initial public offering in 2019 at the earliest, under its new CEO invited from major travel booking website operator Expedia Inc. Jiji Press