(FinancialPress) — Travis Kalanick, one of the brain fathers of Big Tech‘s Uber and former CEO for the company until the past June, is poised to sell 1/3 of his stake in the transportation service company. The source which revealed the information stated that the estimated value of the operation verges on $1.4 billion.
The sale is part of a deal landed with a SoftBank Group Corp-led consortium, which is biting up a 17.5% stake in Uber. They are mostly acquiring said stake from purchasing shares from employees and early investors. The deal, which is aimed to be closed early this year, was materialized when SoftBank secured agreements with shareholders that are willing to sell through last week.
The deal is being developed with a valuation of $48 billion for the company – roughly a 30% discount from its latest valuation of $68 billion. To balance this out, the joint venture is also making a $1.25 billion investment in fresh funds at the higher valuation.
Kalanick, who was willing to sell off his entire stake, was stopped by the limit set on SoftBank‘s purchase. He will, in the end, sell only 29% of his shares – said the source. The widespread interest to sell also stopped several other stakeholders from passing down as many shares as they would‘ve liked.
Kalanick‘s stake rises to 10% of the company, so his sale represents 2.9% of Uber‘s total shares and will net him approximately $1.4 billion, stated the source.
A spokesperson for Kalanick declined commenting on the subject. SotfBank was not available for comment at the moment of this publication.
This was likely the last chance stakeholders had to sell off their shares before the company‘s IPO, slated for 2019.