SoftBank inks deal to acquire 15pc of Uber’s equity
Uber and SoftBank announced a deal Thursday allowing the Japanese tech titan to take a large stake in the US ridesharing giant, making a hefty cut in the valuation of the biggest venture-backed startup.

SoftBank will acquire 15 percent of Uber’s equity at a discount of 30 percent from its most recent value, according to a source familiar with the terms of the deal.

The new investment, which will be finalized in January, is part of an effort by Uber to move past a series of scandals and missteps and reform its board structure as it gears up for a 2019 public share offering.

A source familiar with the deal said SoftBank had reached agreements with investors to achieve its target of a 15 percent share.

The two firms did not provide details of the valuation but the source said the investment was based on Uber’s worth of $48 billion, down from $71 billion earlier this year.

“We look forward to working with the purchasers to close the overall transaction, which we expect to support our technology investments, fuel our growth, and strengthen our corporate governance,” Uber said in an emailed statement.

A separate statement from Rajeev Misra, chief executive of SoftBank Investment Advisers, said, “We are appreciative of the support from Uber’s shareholders in the successful tender offer and look forward to closing the overall investment in January.”

“We have tremendous confidence in Uber’s leadership and employees and are excited to support Uber as it continues to reinvent how people and goods are transported around the world,” he added.

The source said SoftBank’s total investment in Uber will amount to $7.7 billion including a $1 billion infusion announced earlier this year.
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