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.