Uber’s Stock Has a Tough Day on its Debut
Posted on 05/10/2019
After much fanfare and media anticipation, San Francisco-based Uber Technologies launched toward public markets with an initial offering price of US$ 45 per share, raising US$ 8.1 billion. However, Uber stock closed down 7.6% on its first day of trading to US$ 41.57 per share. Uber’s debut to the U.S. stock market was impacted by a volatile equity market, as the United States and China are engaged in a major trade conflict. Uber’s stock price decline had an impact on rival listed car app Lyft. Lyft stock has lost more than 29% of its market capitalization value since its March IPO.
Uber’s market capitalization drives around US$ 76.5 billion. The largest shareholders in Uber is the SoftBank Vision Fund, followed by Benchmark Capital, Travis Kalanick, Garrett Camp, and Saudi Arabia’s Public Investment Fund (PIF).
Uber had its origins when it was an app called UberCab, founded by Garrett Camp and Travis Kalanick in 2009. Fast-forward, UberCab became Uber and the company brought on UberX. Uber witnessed massive expansion into areas and created services such as Uber Eats, Uber Freight, and Jump Bikes.
