Tuesday 21 May 2019

Bumpy ride: Uber's shares slump by 9pc on first day of its Wall Street IPO

Uber ceo Dara Khosrowshahi and co-founder Garrett Camp are pictured taking a selfie on the NYSE floor.
Uber ceo Dara Khosrowshahi and co-founder Garrett Camp are pictured taking a selfie on the NYSE floor.

Uber Technologies' shares fell nearly 9pc in their debut yesterday, marking a rocky start to one of the most high-profile US initial public offerings since Facebook's seven years ago.

The stock's opening at $42 (€37.3) undermined Uber's strategy to price its oversubscribed IPO conservatively at $45 per share to avoid a repeat of rival Lyft's stock market struggles following a strong debut in March.

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The lacklustre response comes against the backdrop of trade tensions between the US and China and increased investor scepticism about the ability of Uber - which reported a loss of $3.03bn in 2018 from operations - to turn profitable soon enough. CEO Dara Khosrowshahi and co-founder Garrett Camp are pictured taking a selfie on the NYSE floor.

Reuters

Irish Independent

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