On Friday, SoftBank closed its deal to buy a 15% stake in Uber, valuing the company at $48 billion-or 30% lower than previously. At one point, SoftBank CEO Masayoshi Son publicly proposed investing in Uber's USA competitor, Lyft Inc., if the deal talks fell through.
The agreement comes at a time when Uber is working to clean up after a year of scandals, which involved everything from sexual harassment allegations to five federal investigations to a trade-secret theft lawsuit from Waymo, the self-driving vehicle unit owned by Google's parent company Alphabet.
Uber called the deal a "great outcome for our shareholders, employees and customers, strengthening Uber's governance as we double down on our technology investments and continue to bring our services to more people in more places around the world".
That deal dropped a cool $1.4 billion in cash into Kalanick's pocket and will soon end a contentious lawsuit with his biggest investor Benchmark.
SoftBank, the Japanese technology conglomerate and late-stage startup investor, announced today that its long-pending deal with Uber has closed. There's no word yet on what philanthropic area his foundation will focus on.
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The move also means governance changes for Uber come into immediate effect. San Francisco-based Uber has been mired in controversy for an assortment of missteps in the past year, including allegations of sexual misconduct and charges that it deployed an espionage team to plunder trade secrets from its rivals.
Uber declined to confirm any new board members. However, the new governance rules mean they can not be filled without a majority vote from the board.
As part of the deal, Uber will expand its board from 11 to 17 members, including four independent directors.
The changes eliminate super-voting stock rights held by early employees and backers. So did Benchmark and other early investors. This deal was important particularly to him because Softbank had threatened to invest in Uber's top competitor, Lyft, instead.
On the other hand, the finalising of this massive deal will see Mr Kalanick's powers reduced. He thinks SoftBank's Asian stakes could help Uber as it prepares for an initial public offering in 2019.