Uber's trucking unit to buy Transplace for US$2.25 billion

Uber's trucking unit to buy Transplace for US$2.25 billion

FILE PHOTO: A screen displays the company logo for Uber Technologies Inc. on the day of it's I
FILE PHOTO: A screen displays the company logo for Uber Technologies Inc. on the day of it's IPO at the New York Stock Exchange (NYSE) in New York, U.S., May 10, 2019. REUTERS/Brendan McDermid/File Photo

SAN FRANCISCO: Uber Technologies said on Thursday (Jul 22) that its trucking unit would buy transportation logistics company Transplace for about US$2.25 billion from private equity firm TPG Capital.

The deal consists of up to US$750 million in Uber common stock and the remainder in cash, the ride-share company said in a statement.

Transplace will be acquired by Uber Freight, which is Uber's trucking unit.

"This transaction is expected to accelerate Uber Freight's path to profitability and help the segment to break even on an adjusted EBITDA basis by the end of 2022," Uber said.

Uber Freight operates as a middle man in the fragmented long-haul trucking business, connecting truckers with shippers.

Source: Reuters/ga

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