Mark Cuban attends Shark Tank’s Kevin O’Leary launches symposium celebrating global entrepreneurship at Casa Loma on April 5, 2018 in Toronto, Canada.
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Mark Cuban, billionaire investor and owner of the NBA’s Dallas Mavericks, said Uber’s disappointing initial public offering last week was “not a surprise” because the ride-sharing company waited too long to go public, losing the momentum early companies typically have.
“They just waited too long. There’s nothing exciting about it,” Cuban added. “I don’t think you could have expected anything different … the reality is you’re nine years in and you’re still having to buy your revenue. That’s not a good sign.”
Cuban said four years ago he invested $1 million in Uber’s competitor Lyft, which had its own IPO in March. Lyft, like Uber, waited too long – a hesitancy he pinned on Uber’s investors.
“I just think we’re seeing a reflection of the Silicon Valley ethos in the public market. The whole attitude was wait, wait, wait, wait, wait,” Cuban said.
Cuban said Uber reflects poorly on the California region’s venture capital investors, saying it “suggests they’re not very good at valuing companies and it’s not a very efficient market when it comes to late-stage companies in evaluating IPO’s.”
This is a developing story. Check back for updates.