Uber set to sell $10bn stake to Softbank

LONDON - Uber has struck a deal that could lead to a huge investment by a consortium led by Japanese conglomerate Softbank and San Francisco group Dragoneer.

The size of the potential investment has not been disclosed, but reports say it could be up to $10bn (£7.6bn).

The ride-hailing company said the money would fuel Uber’s expansion and investments in technology.

But it could transform its corporate structure and see a share listing by 2019, if the deal goes ahead.

“We’ve entered into an agreement with a consortium led by SoftBank and Dragoneer on a potential investment,” Uber said. “We believe this agreement is a strong vote of confidence in Uber’s longterm potential.”

If completed, the firm plans to use the funds to expand its business further as it faces increasing competition at home and abroad. As well as boosting its investments in technology, Uber said it would strengthen its corporate governance. That could help bring stability to the world’s most valuable start-up after a year of scandals, infighting and the ousting of former chief executive Travis Kalanickin June.

Softbank, the Japanese telecommunications and technology giant, declined to comment on the potential investment when contacted.