Uber Stock Still Underwater for Saudi Arabia, Three Years Later
Uber Stock Still Underwater for Saudi Arabia, Three Years Later
(Bloomberg) -- Arriving late to a party can be great for those looking to make a splashy entrance. But for most Uber Technologies Inc. financiers who joined at the tail end of its tenure as a private company, not so much.
A private investment by Saudi Arabia’s sovereign wealth fund nearly three years ago is still worth less than at the time of purchase. The fund, overseen by the controversial Saudi Crown Prince Mohammed bin Salman, invested in June 2016 at $48.77 a share. The stock closed its first day of trading Friday at $41.57.
Japan’s Toyota Motor Corp. and SoftBank Group Corp. are sitting on stakes of at least $500 million each that they bought last year at the same price as the Saudi fund. But Toyota had a prior stake, disclosed in 2016, and SoftBank was able to acquire a much bigger chunk of shares at a lower price in 2018.
Don’t weep for Saudi Arabia, either. It’s the largest investor in the SoftBank fund that got the big discount on Uber stock last year.
To contact the reporter on this story: Lizette Chapman in San Francisco at lchapman19@bloomberg.net
To contact the editors responsible for this story: Mark Milian at mmilian@bloomberg.net, Anne VanderMey
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