From Joshua Franklin and Heather Somerville
(Reuters) – Uber Technologies (NYSE 🙂 will reveal the conditions for its initial public offering on Friday, telling investors that they will seek to estimate between $ 80 billion and $ 90 billion, according to people familiar with the issue.
The cost of the valuation is less than the 120 billion US dollar estimate that investment bankers have told Uber last year, and may well be closer to the $ 76 billion estimate it made in its last round last year.
The reduction in Uber's expectations reflects the poor performance of its smaller competitor Lyft Inc. (NASDAQ 🙂 after the IPO last month. Lyft shares closed their trading on Thursday with 22% of their IPO price amid investors' skepticism on the road to profitability.
Uber will present an IPO price range between $ 44 and $ 50 per share on Friday to raise between $ 8 billion and $ 9 billion, sources said. Ten-day travel for investors will start on Monday, starting Uber to make a debut on the New York Stock Exchange in early May.
In addition, some insiders of Uber will also sell their own IPO shares, sources add. Earlier this month, Reuters announced that all Uber shares sold at the IPO could be worth about $ 10 billion.
Uber also plans to present its last sale of shares as a private company on Friday, sources said. The identity of the investor involved in private placement can not be immediately learned.
Sources requested not to be identified because the issue is confidential. Uber refused to comment.
Uber works in more than 70 countries. In addition to a train trip, his business includes bicycle and scooter rental, freight transport, food delivery and an expensive car department.
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