Uber Co-founder and ex-CEO sells company shares worth US$2.5 billion
Category: #headlines  By Anchal Solanki  Date: 2019-12-23
  • share
  • Twitter
  • Facebook
  • LinkedIn
Uber Co-founder and ex-CEO sells company shares worth US$2.5 billion

·         Travis Kalanick sold nearly 90% of his shares and may soon be divested

·         He had resigned from the firm over fraud, discrimination and sexual harassment claims

Travis Kalanick, Co-founder of American multinational ridesharing company- Uber Inc. has reportedly sold his company shares worth more than USD 2.5 billion, which amounts to over 90% of his shares in the lift-sharing platform.

Apparently, Kalanick resigned from the company after charges of fraud along with reports of sexual harassment and discrimination taking place in the firm.

In May 2018, the company first traded on the stock market offering one of the largest public share offerings in the history of tech industry. Since then, the company share has lost over 30% of its value, resulting in the company’s incapability to meet the expectations of the investors.

Reportedly, the ex-CEO began getting rid of his shares at the beginning of November, six months after being listed on the stock exchange, during which Travis and other original investors were prohibited from selling their shares on the stock market.

Uber’s issues reflect the concerns of the market to a large extent regarding its failure to pump out profits and the conflicts it has with a number of regulators.

For the record, during the last quarter, the firm suffered a total loss of approximately USD 1.2 billion. However, it had surpassed the forecast of the experts. Meanwhile, Travis is developing a new business named CloudKitchens, that provides industrial kitchen spaces to restaurants that run home-delivery apps.

Recently, uber announced to be making India the main engineering hub outside its headquarters in San Francisco with an aim to attract more investment in the company. Various core technology roles, such as algorithms and maps intelligence in order to map drivers and riders is being developed at locations such as Hyderabad and Bengaluru.

Additionally, the company also aims at increasing the number of technical staff such as designers and product managers.

 

Source Credits: https://www.smh.com.au/business/markets/uber-co-founder-sells-90-per-cent-of-his-shares-20191223-p53mbt.html

 

  • share
  • Twitter
  • Facebook
  • LinkedIn

About Author

Anchal Solanki

Anchal Solanki    

A civil engineer by qualification, Anchal Solanki forayed into the domain of content writing in the midst of her graduation, embarking on the career path of a successful freelancer. Equipped with a short-term experience in market research, Anchal currently writes news...

Read More >>

More News By Anchal Solanki

Proton to lend support to Malaysia’s Health Ministry to fight COVID-19
Proton to lend support to Malaysia’s Health Ministry to fight COVID-19
By Anchal Solanki

Amid the growing crisis caused by the coronavirus pandemic, a plethora of companies from almost every industrial sector are coming forward to make a contribution towards the global fight against COVID-19. Among those, the automotive sector is one of ...

Global Mobile Satellite Services Market: Key Strategies to Use to Dominate Globally 2020-2026
Global Mobile Satellite Services Market: Key Strategies to Use to Dominate Globally 2020-2026
By Anchal Solanki

An in-depth understanding of the Mobile Satellite Services Market has been provided in this research study. The report analyses the Mobile Satellite Services Market in terms of numerous parameters, such as growth drivers influencing the commercializa...

Global Terrestrial Trunked Radio Market: Factors Helping to Maintain Strong Position Globally 2020-2026
Global Terrestrial Trunked Radio Market: Factors Helping to Maintain Strong Position Globally 2020-2026
By Anchal Solanki

Titled ‘Global Terrestrial Trunked Radio Market Research Report’, the report is complete with an elaborate research undertaken by prominent analysts and a detailed analysis of the global industry place. The study is inclusive of a well-el...