Uber’s big SoftBank deal has officially closed

SoftBank’s $1.2 billion primary direct investment deal has officially closed, according to Uber itself, which confirmed the deal closure and provided the following statement to TechCrunch via a spokesperson:

We’re proud to have SoftBank, Dragoneer and the entire consortium in the Uber family. This is a great outcome for our shareholders, employees and customers, strengthening Uber’s governance as we double down on our technology investments and continue to bring our services to more people in more places around the world.

The Uber-SoftBank deal will also see payments for secondary sales processed and distributed throughout Thursday, the company confirmed, and the governance changes that Uber agreed to as part of the deal structure are also officially coming into effect today.

That means that Uber founder Travis Kalanick is officially now a billionaire in reality as well as on paper, thanks to his sale of around 30 percent of his total stake in the ride-sharing company. It also means that SoftBank is now the largest shareholder in the company, and that it secures its new board positions, and helps set Uber up for its planned 2019 initial public offering.

SoftBank Investment Advisers CEO and SoftBank Group Director Rajeev Misra provided the following statement regarding the deal’s close to TechCrunch:

We are very pleased to have successfully closed the Uber investment and appreciate the support and professionalism of the Board, management team and shareholders who made this transaction possible.

Uber has a very bright future under its new leadership. It is now part of a wider SoftBank network ranging from Sprint to WeWork. I look forward to SoftBank helping Uber become an even bigger global success.

The SoftBank deal came together at the end of last year, when the group led by the Japanese company made a deal valuing Uber at around $48 billion, a discount to its $69 billion valuation from its previous round.

Featured Image: ANTHONY WALLACE/Getty Images

Published at Thu, 18 Jan 2018 19:34:59 +0000