Uber agrees multi-billion dollar Softbank deal after unpicking boardroom feud

 
Oliver Gill
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Uber boss Dara Khosrowshahi helped to broker a deal between the warring boardroom factions (Source: Getty)

Uber has struck a deal with Japanese tech giant Softbank for a multi-billion dollar investment into the ride-sharing firm, according to overnight reports.

Troubled board members have set aside their differences to agree an accord with a consortium led by Softbank and Dragoneer Investment to buy up to 17 per cent of the firm’s shares for $1bn (£760m).

Sources told Reuters that subsequent investments from the parties could ultimately top $10bn.

Read more: Uber loses workers' rights appeal: Here's how employment experts reacted

Benchmark, a venture capital firm that made an early investment into Uber, has been in a disagreement with former Uber chief executive Travis Kalanick.

The Uber board first agreed to bring in Softbank more than a month ago. But finalising terms has been scuppered by the falling out between Benchmark and Kalanick.

“We’ve entered into an agreement with a consortium led by Softbank and Dragoneer on a potential investment,” an Uber spokesperson said.

“We believe this agreement is a strong vote of confidence in Uber’s long-term potential.”

Separate sources told Reuters new Uber boss Dara Khosrowshahi helped to broker the deal by mediating between Benchmark, which has a seat on the Uber board, and Kalanick.

Read more: Uber CEO writes to Londoners saying sorry "we got things wrong"

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