- Uber priced its IPO at $45 per share in preparation to start trading early Friday, the company announced on Thursday.
- Uber is expected to start trading Friday on the New York Stock Exchange under the ticker “UBER”.
This price is at the low point of the $44 to $50 range previously set by the company in earlier financial documents. The price would give Uber a valuation of $82 billion according to CNBC, significantly below the $120 billion price valuation that some of the company’s bankers reportedly sought at the beginning of the IPO process.
Uber is expected to start trading Friday on the New York Stock Exchange under the ticker “UBER”.
The IPO was led by Morgan Stanley and Goldman Sachs along with 27 other banks.
The ride-hailing company, set to be the largest IPO of 2019, tempered back its price expectations as its smaller competitor Lyft struggled to maintain its own standing in the public markets. Lyft went public at the end of March with a $21 billion valuation, and it has since sunk to a market cap around $15 billion.
Like Lyft, Uber faces substantial quarterly losses, even 10 years into doing business. Uber reported $11.2 billion in revenue in calendar year 2018, and lost $3 billion during that same period.
The ride-hailing sector’s pricing struggles come admits widespread success from the other tech IPOs that have hit the public markets in the first half of the year.
PagerDuty went public in mid-April with a $1.79 billion valuation and has since shot up above $3 billion in value.
Pinterest and Zoom, which went public one week later, have also seen widespread support from investors. Pinterest went public with a $10 billion valuation, and it’s since shot up to around $16 billion. Meanwhile, the video conferencing platform Zoom went public with a $9.2 billion valuation and is now valued around $20 billion.