(Bloomberg) — Uber CEO Dara Khosrowshahi, in an email to staff Monday, acknowledged Uber’s rocky trading debut, while at the same time saying that tech giants Facebook and Amazon also faced difficulties after listing.
“Obviously our stock did not trade as well as we had hoped post-IPO. Today is another tough day in the market, and I expect the same as it relates to our stock,” he wrote in the email obtained by Bloomberg News. Uber’s shares fell as much as 11% in trading today, after its debut on Friday. “Sentiment does not change overnight, and I expect some tough public market times over the coming months.”
“Remember that the Facebook and Amazon post-IPO trading was incredibly difficult for those companies. And look at how they have delivered since,” he said. Uber has “all the capital we need to demonstrate a path to improved margins and profits.”
The San Francisco-based company sold 180 million shares at $45 apiece on Thursday, and on Friday it never traded above that price, ending the day down 7.6% at $41.57 even as other stocks gained. The ride-hailing giant dropped today as much as 11% to $37.08 in New York.
Read the full text of the letter here: