The investments come amidst allegations of sexual harassment, investigations by regulators, and a lawsuit by Alphabet Inc. over stolen technology

Japanese internet conglomerate SoftBank is set to acquire 15 per cent equity in global cab-ride services giant Uber Technologies at a US$48 billion valuation, a 30 per cent discount to San Francisco-headquartered company’s most recent valuation of US$68 billion, says a Reuters report.

China’s Tencent Holdings, US-based Dragoneer Investment Group and a few unknown investors are also joining the round, who will together hold roughly 3 per cent equity post investment. The stake includes a share purchase, through a tender offer, from earlier investors and employees at the US$48 billion valuation, as well as a US$1.25 billion investment of fresh funding at the US$68 billion level, said the report.

Also Read: Uber strikes its first m-payments partnership in Southeast Asia with a deal with Vietnam’s MoMo

The deal will be closed early next year.

The ride-hailing giant will use the money to support its technology investments, fuel growth, and strengthen corporate governance. “We look forward to working with the purchasers to close the overall transaction, which we expect to support our technology investments, fuel our growth and strengthen our corporate governance,” it said in a statement.

As per the agreement, Rajeev Misra, CEO of SoftBank Vision Fund, a US$98 billion tech investment vehicle, will join the Uber board.

The investments come amidst allegations of sexual harassments against Uber, investigations by regulators and a lawsuit by Alphabet Inc’s self-driving car unit Waymo over stolen technology.

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