Deals

Uber raises $1.2B at a record-breaking $17B valuation — & it plans to raise $200M more

Image Credit: Uber

Uber has officially pulled the trigger on a new funding round — a massive $1.2 billion raise, at a $17 billion valuation led by Fidelity Ventures.

Back in August, Uber was valued at $3.5 billion. In early May, valuation rumors swelled to $10 billion. Uber previously confirmed a “record-breaking” funding round back in May, but only now are the terms of the deal publicly available.

In addition to Fidelity Ventures, Summit Partners, Kleiner Perkins Caufield & Byers, Google Ventures, and Menlo Ventures also participated, according to Bloomberg.

According to a statement from Uber chief Travis Kalanick [emphasis ours]:

We have some exciting news to share this morning. We have just closed a financing round with some of the leading investors in the world, raising $1.2B of primary capital at a $17B pre-money valuation. The total raise will be about $1.4B with a second close of strategic investors soon. We are thrilled to have top tier institutional investors, mutual funds, private equity and venture capital partners joining us.

Kalanick states that Uber currently operates in 128 cities across 37 countries. According to Kalanick, “Uber is changing the fabric of these cities,” and is responsible for “directly creating 20,000 new jobs per month.” Uber hit 100 cities back in April.

Uber faces an uphill battle against legislators and traditional taxi cab and limousine firms. Uber currently faces more than a dozen active lawsuits in the U.S., in addition to legal conflicts in Europe. The company’s rapid expansion has both exacerbated its legal struggles and asserted its potential as a global transportation startup.

Uber’s closest competitor, Lyft, has raised $333 million to date.

More information:

Uber Technologies Inc is known as Everyone's Private Driver. Uber operates an on-demand car service used all over the world. With the touch of a button from your phone, you can experience your own private driver. Sign-up quickly, g... read more »

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53 comments
Bruno Ramos
Bruno Ramos

O.o .. Uber is going so BIG! Hope he HIT's BRAZIL really hard.

Edvard Võrk
Edvard Võrk

No wonder... Every weekend we blow 100 bucks on their cars and it is cheaper than taxi in Switzerland

Scott Worrel
Scott Worrel

somebody going to lose a shit load of money......

Ming Wu
Ming Wu

Nope, I will definitely have to, haha

Ryan Drake
Ryan Drake

Ming Wu - Have you used them in Melbourne? Seamless and such an incredible user experience!

Ming Wu
Ming Wu

Depends how they value it...If you take into account of growth and the customer base, it could be. People often look at something now and say that's not worth it when they fail to take into account of what it could turn out to be. Just look at Coca Cola.

Ming Wu
Ming Wu

Why not? Is a brown sugar carbonated water company worth $168.7 billion? You tell me.

Ali Gajani
Ali Gajani

Well, the valuation is more SOUND than WhatsApp

Ryan Baptiste
Ryan Baptiste

I'm shorting this about 15 minutes after IPO

Ajay Desai
Ajay Desai

or have wall street bankers be in your ops team, which is what they did.

Brad Dupee
Brad Dupee

Boom. Another whopper. #eonation

Otávio Dalla
Otávio Dalla

Bruno Soldovieri sim... a Lyft e' outra pra ficar de olho

Alex Chong Yoo
Alex Chong Yoo

Only way to be valued at $17B is to lose a lot of money and insert a lot of hoopla in the investor's drinks.

Omar Yacoubi
Omar Yacoubi

Nah … people will always need cars, and millenials are driving less

Abhishek Bakshi
Abhishek Bakshi

Valuations are excel sheets. Investors look for returns...whats the p/e here...

Hasibul Haque
Hasibul Haque

Wall Street scamsters are at it again..getting ready to defraud 401K and pension funds when the IPO happens!

Dire Wolff
Dire Wolff

You may want to change the end of the headline to "and it plans to raise $200M more" not $2M ;)

Scott Sorochak
Scott Sorochak

Emil Michael and Travis now unstoppable...death to the heavily unionized and monopolistic taxi business...

James Biskey
James Biskey

i mean, that's what i think they should do B-)

Venkat Vankipuram
Venkat Vankipuram

James Biskey Debika Seth Eric , now they can buy Deliv with the 1.2B ! 47 M all cash with earnouts !