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Chronicles

The story behind the story

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Sources: Uber looking to raise close to $1B in new venture capital at valuation of $60B-$70B

Uber Said to Plan Another $1 Billion in Fund-Raising  —  Just three months after raising an enormous sum of money from investors, Uber is at it again.  —  The ride-hailing service is planning …

New York Times

Context & Ripple Effects

This is the second mega-round Uber has sourced this year: back in May it lined up $1.5–2B at a $50B-plus valuation, and January brought $1.6B in convertible debt from Goldman Sachs' clients. Three months after the May close, Uber is back asking for nearly $1B more at $60–70B.

That cadence matters because the related coverage shows where it lands: December's up-to-$2.1B round at $62.5B with Tiger Global and T. Rowe Price effectively confirms the range sought here, and by May 2018 Uber's secondary round priced flat at $62B with more than $21B raised to date — the valuation stopped climbing even as the checks kept coming.

First-order effects

  • Uber's existing investors absorb further dilution on top of two 2015 raises and the Goldman debt, while the company banks another ~$1B of runway against ride-hailing rivals also raising aggressively.

Second-order effects

  • Mutual-fund investors like T. Rowe Price, already in the December syndicate, keep marking up private valuations on their books — pulling institutional capital deeper into late-stage private markets that were once venture-only territory.

Third-order effects

  • If the pattern holds, Uber becomes the template for pre-IPO giants: successive nine-figure-and-up rounds inflate the private valuation toward its eventual public ceiling — which the 2018 secondary at a flat $62B suggests had already been reached years before listing.

The trend: Late-stage venture capital is consolidating into ever-larger, faster-cadence rounds for a handful of private champions, with mutual funds replacing traditional VCs at the top of the stack.