Uber planning stock market flotation 'in April'

[scooterscot]

Watch the dumb money line up at the door. A company that is yet to make a penny in profit is set to carry out an IPO. They must be running out of cash. Worry not, dumb money will bail them out at the IPO.

Ride-hailing taxi app firm Uber is to launch its initial public offering in April, the Reuters news agency reports.

Uber will register securities with US regulator the SEC in April, as well as launching an investor roadshow, Reuters said.


Rival Lyft went through the same process on 1 March, and will complete its offering by the end of this month.


Both Uber and Lyft confidentially told the regulator they wanted to float on the stock market in 2018.


Uber, which started in 2009, was most recently valued at $76bn in the private market. It is seeking a valuation as high as $120bn.


Controversy
Uber has been controversial for disrupting the taxi industry in more than 60 countries.


It continues to face opposition from both private hire drivers and regulators in several jurisdictions.


The ride-hailing taxi app firm has also faced legal action in the UK and US over its classification of drivers as self-employed contractors, rather than as workers.

Uber planning stock market flotation 'in April' - BBC News

[AtW]

So how much profit was made by cryptotulip companies?

[TheGreenBastard]

What's the failure rate of a IPO vs an "ICO"?

[scooterscot]

So how much profit was made by cryptotulip companies?

Unlike Central banks, not a penny

[tomtomagain]

American tech companies don't like to make a profit until they really need to. It's just not tax efficient.

Amazon took 14 years to become profitable. By the time they did, they had eaten most of their competitor's lunch ( and breakfast and dinner ).

[DimPrawn]

Pooper loves showing everyone his stupidity, it's like his way of showing off.

[scooterscot]

American tech companies don't like to make a profit until they really need to. It's just not tax efficient.

Amazon took 14 years to become profitable. By the time they did, they had eaten most of their competitor's lunch ( and breakfast and dinner ).

Amazon's strategy was to undercut small business on price (tax conditions were a bonus) That meant taking a loss. Wasn't until the small businesses were bankrupt did Amazon prices start creeping up. So along comes Tesla, Uber, (and a shocking number of others trading on S&P 500 etc) to copy & paste Amazon's business model. Airbnb pulled it off tremendously whilst Uber is failing miserably. What's the difference?

There are a number of public and private corporations out there operating with huge debts. A number of UK Plc's too on the verge of collapse for trying to play Amazon's game. It'll all end in tears.

[tomtomagain]

Amazon's strategy was to undercut small business on price (tax conditions were a bonus) That meant taking a loss.

Growing companies don't make a profit, they spend all their income on growth, breaking into new markets and disrupting any incumbents. Raking up tax-credits in the process.

Uber has raised $25B dollars in financing, so it's not likely to run out of cash any time soon.

What's it's goal? To be the dominant supplier of transportation. Whether that's people, take-aways or freight. And that's a big old market, just ask UPS.

It's riding all the major trends : increasing urbanisation, smartphone adoption throughout the planet, lots of low-skilled people prepared to work for an hourly rate, the trend towards youngsters to not want the hassle ( or expense ) of owning a car and a lack of decent public transport in many parts of the world ( not just the UK,US ).

It'll all end in tears.

It may well do. Or revolution. But I certainly wouldn't write it off just yet.

[AtW]

Not all money paid for Uber shares went to Uber - early investors wanted out too

[scooterscot]

Growing companies don't make a profit, they spend all their income on growth, breaking into new markets and disrupting any incumbents. Raking up tax-credits in the process.

Well I tell you my company certainly did not borrow money to get my foot on the ladder! Most successful businesses I'm involved with scale up rather than distort & disrupt with capital hoping the remaining customers land on their doorstep. That's not making business that's something else entirely, which could only have been born in Murica. You think Microsoft started off by spending capital?! No, they convinced customers to buy something they never had before by being inventive. What did Amazon invent? Feck all. They just stole other people's business by age old undercutting, which always hits the buffers when the quality of small independents is lost. Rinse n repeat.

RIP Entrepreneurship if UK businesses are operating in the fashion you suggest.