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I think this will keep Uber private for much longer/indefinably. If they were public, the company's stock would be in the pooper. Since they are private, who kn

I think this will keep Uber private for much longer/indefinably. If they were public, the company's stock would be in the pooper. Since they are private, who knows what secondary markets have 'priced' the effect of all the allegations(toxic management, previous SVP sexual harassment issues,IP theft, running red lights, etc). If anything this will probably ripple to other Unicorns that staying private is a better idea. No accountability so you can get away with way more.

dastbe 10y ago
The problem is your workforce still wants a liquidity event that rewards them for helping build a multibillion dollar company. this means either company buy-backs or authorized secondary market transfers that will likely not result in the amount of money they expected. say what you will about the tech giants, at least you know what you're going to get paid.
- jacquesm 10y ago
  You might not be able to unload at all...
  - bravura 10y ago
    Let's say Uber (or any unicorn) would not provide any liquidity to employees. Could employees unionize and threaten to quit en masse unless a company-wide liquidity solution was offered?
  - seanp2k2 10y ago
    And suddenly that 200K base + 400K stock comp plan is looking a lot more like 150K total comp
- x0x0 10y ago
  That's why Uber is doing buybacks -- with, naturally, a good haircut for the employees. While Uber’s buyback approach can help it retain talent, it may also benefit the company’s bottom line. Using its own money, Uber purchases common stock for 25 percent to 35 percent less than the price of preferred shares from its most recent funding round, one person familiar with the matter said. It can then turn around and sell shares at a premium in a subsequent round. https://www.bloomberg.com/news/articles/2017-02-15/uber-gives-restless-employees-a-way-to-cash-out https://www.bloomberg.com/news/articles/2017-02-15/uber-give...
  - lancewiggs 10y ago
    Great deal - if you are an insider with shares then sell all of them. This thing is hyper-valued.

dastbe 10y ago

The problem is your workforce still wants a liquidity event that rewards them for helping build a multibillion dollar company. this means either company buy-backs or authorized secondary market transfers that will likely not result in the amount of money they expected. say what you will about the tech giants, at least you know what you're going to get paid.

jacquesm 10y ago
You might not be able to unload at all...
- bravura 10y ago
  Let's say Uber (or any unicorn) would not provide any liquidity to employees. Could employees unionize and threaten to quit en masse unless a company-wide liquidity solution was offered?
- seanp2k2 10y ago
  And suddenly that 200K base + 400K stock comp plan is looking a lot more like 150K total comp
x0x0 10y ago
That's why Uber is doing buybacks -- with, naturally, a good haircut for the employees. While Uber’s buyback approach can help it retain talent, it may also benefit the company’s bottom line. Using its own money, Uber purchases common stock for 25 percent to 35 percent less than the price of preferred shares from its most recent funding round, one person familiar with the matter said. It can then turn around and sell shares at a premium in a subsequent round. https://www.bloomberg.com/news/articles/2017-02-15/uber-gives-restless-employees-a-way-to-cash-out https://www.bloomberg.com/news/articles/2017-02-15/uber-give...
- lancewiggs 10y ago
  Great deal - if you are an insider with shares then sell all of them. This thing is hyper-valued.