Google, through Google Ventures, was expected to participate in Uber's upcoming new round of funding. Dan Primack of CNNMoney found this a bit unusual. "Google Ventures typically invests in smaller, earlier-stage companies," reported Primack. Google Ventures run as an independent entity from Google.
Uber is an on-demand ride service. The company was now in advance discussions regarding its new round of funding. The fundraising aimed to raise a minimum of US$150 million. In addition, Uber asked for a pre-money valuation US$3 billion.
Leading the funding round will be Texas Pacific Group, a private equity firm. This will be one of a very few deals that did not include majority ownership for PE firm. Another investor could possibly be a growth equity affiliate of TPG.
Travis Kalanick, Uber founder and CEO, did not have any plan of selling his own shares during the funding round. "The overall company loses money, but individual geographic markets are profitable once Uber achieves a certain level of scale," CNNMoney reported.
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