Uber seeks valuation of up to $90bn at IPO

Ride-hailing company Uber will unveil the terms for its initial public offering on Friday and it’s reportedly seeking a valuation of between $80bn and $90bn, according to reports.

That amount is below the $120bn that investment bankers told Uber last year that it could fetch, but closer to the $76bn it obtained via its last private fundraising round, in 2018.

Based on the above, Uber is expected to set out an IPO price range of between $44 and $50 for each share, which would allow it to raise between $8bn and $9bn.

If it were able to raise $8bn, then its offering would be three times larger than rival ride-hailing company Lyft's, which netted that company $2.34bn earlier in the year.

The IPO will have some very well known investors, such as PayPal Holdings, who has agreed to purchase $500m of shares via a private placement at Uber’s IPO price, as per an SEC filing.

Morgan Stanley, Goldman Sachs and Bank of America are leading the offering.