Uber to raise $1.6 billion in convertible debt: source

Wed Jan 21, 2015 4:30pm EST
 
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By Sarah McBride

(Reuters) - Online ride-sharing company Uber Technologies Inc has raised $1.6 billion in convertible debt from wealth management clients of Goldman Sachs Group Inc (GS.N: Quote), a person familiar with the matter told Reuters.

The U.S. car service, which allows people to summon rides at the touch of a button, plans to use the money to build its presence in international markets, improve safety and invest in research and development, according to Bloomberg, which first reported the news.

The company is also in talks to raise $600 million under its series E funding round, the source told Reuters.

Uber said in December that it raised $1.2 billion in its latest round of funding and had additional capacity for strategic investments, valuing the U.S. taxi service firm at $40 billion.

A spokesperson for Goldman Sachs confirmed the news.

An Uber spokesman did not respond to an email asking for comment.

(Additional reporting By Lehar Maan in Bengaluru; Editing by Simon Jennings)

 
The logo of car-sharing service app Uber on a smartphone over a reserved lane for taxis in a street is seen in this photo illustration taken in Madrid on December 10, 2014.  REUTERS/Sergio Perez