Tech Transformers

Uber’s IPO prospects remain ‘extremely good’ despite CEO Travis Kalanick resigning, Deutsche Bank says

Key Points
  • Travis Kalanick's resignation as the Uber CEO has not hit the prospects for an initial public offering (IPO) in the future, a top Deutsche Bank executive said.
  • Alasdair Warren, head of the corporate and investment bank for EMEA at Deutsche Bank said the prospect of executing an IPO remains "extremely good".
The future of Uber as its CEO steps down
The future of Uber as its CEO steps down

Uber's prospect of executing an initial public offering (IPO) remains "extremely good" despite CEO Travis Kalanick resigning and management changes, a top Deutsche Bank corporate banking executive told CNBC on Wednesday.

Kalanick resigned on Tuesday after investors demanded he step aside amid a number of controversies at the ride-hailing service.

The outgoing CEO has consistently said that there would be no IPO for Uber soon. Still, as investors look at an exit for the near $70 billion business, an IPO will surely be in their minds. Despite management changes and the resignation of Kalanick, Uber could still see good demand when it goes public, according to one analyst.

"I think that the prospects of executing an IPO remain extremely good," Alasdair Warren, head of the corporate and investment bank for EMEA at Deutsche Bank, told CNBC in a TV interview on Wednesday.

Travis Kalanick
Wang Zhao | AFP | Getty Images

"I'm not sure that, necessarily that the change of CEO or a change in management of any kind is going to change that. My commentary is that as and when that business wants to come to market, there will be a very very strong demand for it, it's going to obviously be a very significant transaction."

Warren said there was a "great opportunity" for Uber in the public markets because it's a disruptive technology company with a global footprint.

"That's a very attractive theme behind which investors want to get," Warren said.

Still, an IPO seems a long way away especially as Uber does not have a complete management team, it has lost key executives and has faced scandals from sexual harassment claims to an intellectual property lawsuit with Alphabet's driverless car unit Waymo.