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Lance Armstrong Invested $100k In Uber Without Knowing It. Today, It Could Be Worth Over $3B

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Lance Armstrong’s early investment in Uber has hit the jackpot. And a big one at that.

In an interview with CNBC, the former cyclist revealed that he had invested $100k in a VC fund that backed Uber in its angel round. The early bet in 2009 came at a time when Uber’s valuation was just shy of $4M.

“I invested in Chris Sacca,” Armstrong said in the interview. “I didn’t even know he did Uber.”

Chris Sacca, a former Google employee, is a billionaire investor managing Lowercase Capital, a fund that’s gained billions by betting heavily on Uber, Twitter and Instagram.

With the ride-sharing company aiming for a massive $120B valuation for its IPO, Armstrong’s investment could now be knocking around the billions, with analysts pitching it at more than $3B.

The former cyclist remarked that the early gamble was “too good to be true”  and “it’s saved our family.”

Armstrong has been battling a string of lawsuits as a result of his infamous doping scandal, ones that created a windfall worth tens of millions of dollars.

With endorsements falling apart, the money pumped in by the former Tour de France champion nearly ten years ago could see him sitting pretty on a significant amount of cash soon.

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VIDEO: Here’s How You Know A Company Is F*****

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Well…not much to say here. The header sort of speaks for itself. As told by Investopedia‘s Microsoft Sam-sounding narrator. Check it out.

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Chart: All The AI Startup Exits That Made Over A Billion Dollars

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Artificial intelligence—AI—is getting those investor checks. In Q2 alone, AI startups raked in $7.4B in funding. And if you look at the exits, you can see why VCs are bullish. It’s a sector that’s delivering some very valuable exits.

Since 2013, seven AI companies have had billion-dollar exists—either through IPO or M&A—four of which have taken place in the last two years. Here’s a chart from CB Insights with all seven.

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10 Bizarre Things About The WeWork IPO Filing

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wework

As WeWork goes public in its recently announced IPO, professionals and entrepreneurs better take note. The sharing economy is spreading its wings beyond Uber and AirBnB.

Although less well known than those icons of the sharing economy, WeWork could change how we work in the years ahead.

That said, its IPO is a bit bizarre, as the media has been quick to point out. Here’s why.

1. We Work Is Running Spectacular Losses

In 2018, the company had a net loss of $1.9 billion. In the first 6 months of 2019 alone, it lost another $900 million.

2. Investors Worry The Company Will Run Out Of Cash

MKM Partners’ Rohit Kulkarni said the company faces a real prospect of running out of cash in a few months’ time.

3. WeWork Is Spending Money Like It’s 1999

via GIPHY

The startup has a burn rate of $150m-$200m a month.

4. Over $47 billion In Future Lease Obligations

WeWork will need to make a ton of money in the future to make it all work.

5. Its Contracts With Users Are Short Term

The startup keeps things flexible for users but is taking on more of the risk itself.

6. The Company Could Be On The Hook If Users Leave

If users defect, WeWork’s rent obligations remain. This should worry any investor.

7. WeWork’s Business Model Is Iffy At Best

The company has declining revenue per user, on top of its failure to be profitable. In other words, things could get worse for investors.

8. Conflicts Of Interest With The CEO  

WeWork leases some buildings owned in part by CEO Adam Neumann, paying millions in rents for it.

9. WeWork’s China Assets A Puzzle For Investors

The company’s assets in China are puzzling for investors, and they carry unique risks yet to be fully understood.

10. Despite All Its Troubles, WeWork Has A Staggering Valuation

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This unicorn has a valuation of $47 billion. Some in the business media say it’s based on smoke and mirrors. The IPO could be a good test of whether the valuation will hold.

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