Unfiltered Political News

Uber Reports Another Huge Loss

Uber Company performance is getting worse each passing quarter. According to a third-quarter report that was recently released to the shareholders, Uber registered a loss of $1.46 billion compared to previous quarter which also had a negative of $1.06 billion.

Even with such turn of events, Uber registered a growth in net revenue of $2.01 billion which is an increase from $1.66 billion. On the other hand, the company’s gross bookings grew from $8.74 billion in the second quarter, to $9.71 billion.

The reports first appeared on Bloomberg and later, TechCrunch confirmed it. Reliable sources indicate that Uber is letting their shareholders know the financial situations hitting the company to help them decide whether to sell their shares during the tender offer that launched recently.

Many investors are showing an interest in buying the shares from the Uber’s shareholders. And they include a Japanese investment company SoftBank Group, as well as TPG & Tencent, and Dragoneer is looking forward to purchasing shares worth $8 billion with a deal of $32.96 per share.

Benchmark Capital and Menlo Ventures are among the top Uber shareholders who have expressed their desire to sell shares to SoftBank. But speculations indicate that they might not be willing to do so with the current price SoftBank is offering per share, and they should consider offering more.

On the other hand, other small-scale shareholders including the employees have the right to sell their shares but with some conditions; they should have at least 10,000 shares, should possess $1 million in assets or should be making at least $200,000 annually.

If all goes well, SoftBank is expected to be making over $1 billion as a result of their investment in Uber. Also, Benchmark Capital is expected to withdraw a lawsuit they had filed against Travis Kalanick, former Uber CEO.

Uber has experienced tough year weight down by a long chain of lawsuits and customer complaints against its culture. SoftBank investment is expected to help the company chart a new cause.

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