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Uber founder set for £1bn payday as he prepares to sell a third of his shares in the taxi app

January 5, 2018 9:51 PM
13 0

Uber founder Travis Kalanick is to sell his shares in the company for the first time in a deal which is set to net him £1billion.

The 41-year-old is reducing his 10 per cent stake by just under a third as part of a funding agreement with Softbank.

A deal announced earlier this month will see the Japanese tech giant take a 17.5pc stake in Uber, largely by buying shares from early investors and employees.

It will secure a £900million cash injection for Uber as it seeks to rehabilitate its image and get back on track after a tumultuous 2017.

Kalanick’s decision to sell comes after reforms that have significantly weakened his grip on the company.

He was ousted as chief executive last year amid a string of scandals but has remained as a director, with former Expedia boss Dara Khosrowshahi parachuted in to take the reins.

Kalanick offered to sell half his shares but, because there was a limit on how much Softbank will buy, will now sell just 29 per cent – about 2.9 per cent of Uber shares overall.

The arrangement means Kalanick, already a billionaire on paper thanks to Uber’s £35billion valuation, will be able to start spending his vast theoretical fortune.

The Softbank deal comes as Uber prepares for its long-awaited listing, which is currently planned for 2019.

Source: dailymail.co.uk

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