Saturday, March 10, 2018

Uber Is Looking for Someone to Lend Them $1.25 Billion (£900m)

From the Telegraph, March 7:

Uber seeking billion-dollar loan
Uber has confirmed that it is looking to secure a $1.25bn (£900m) leveraged loan, less than a month after revealing that its losses ballooned to $4.5bn last year.

The ride-hailing company is thought to be contacting loan investors directly over the financing, which was first reported by Bloomberg, with Uber expected to meet with investors on Friday.

By choosing to raise funds through debt rather than equity, this will mean Uber's existing shareholder base will not be diluted.

It comes just over a year and a half after Uber last tapped the leverage loan market, when it raised $1.15bn, with those funds having been used to help Uber expand globally, as well as invest further in research and development.

Last month, the company said its sales had increased 61pc in 2017, hitting $7.5bn, but its losses widened to $4.5bn from $2.8bn in 2016 due to heavy writedowns and legal expenses....MORE
Also on March 7, Vanity Fair's The Hive:
Uber Is Running Out of Ways to Save Itself

HT on both stories: The Rideshare Guy