Uber is planning to price its initial public offering at a maximum of $50 per share, partly due to a disappointing debut by competitor Lyft.
In an amended regulatory filing with the Securities and Exchange Commission, Uber set the range of its offering of between $44 and $50 per share, below its previous range of between $48 and $55 per share. The new range would value Uber under $90 billion. The company also disclosed a $500 million investment from PayPal, which will purchase Uber stock in a private placement at a price equal to the IPO pricing.
“Based on an assumed initial public offering price of $47.00 per share, which is the midpoint of the estimated offering price range set forth on the cover page of this prospectus, PayPal would purchase 10,638,298 shares,” Uber said in the filing.