November 2022, Virtual
21 November 2022, Hilton London Metropole
Ride-hailing app Uber has warned it might not make a profit as it released details of its plan to float on the stock exchange.
The company will list its shares on the New York Stock Exchange in a deal that is predicted to value the firm at around US$100 billion (£76.5 billion), according to the BBC.
Uber posted a loss of around £830 million for the three months to September 2018, though its annual results show losses have narrowed to $3 billion despite an increase in annual sales to $11.2 billion.
The firm says it expects its operating expenses to increase “significantly”.
Uber has not released details of how it will price its shares when it goes public, but the company is expected to raise about $10 billion through the flotation, according to the BBC.
The company recently announced it will acquire one of its main rivals in Dubai, Careem.
Uber has faced a challenging couple of years since CEO Dara Khosrowshahi took over from co-founder Travis Kalanick. Its licence to operate in London was revoked by Transport for London over safety concerns, but it was granted a 15-month extension while it carried out a number of updates to its operations.
It was also revealed that the app suffered a huge data breach affecting 57 million passengers and drivers around the world in 2016, which the company tried to cover up by paying the hackers $100,000 to delete any data they had stolen. Uber was fined $148 million in the US for the breach.
The firm’s US rival Lyft floated at the end of March, but its share price has fallen by 15.2 per cent since.