Uber’s post-IPO woes continued Monday when the ride-hail giant was stripped of its license to operate in London over its failure to ensure passenger safety.
The potential loss of one of its largest markets — which represents close to 4 percent of its business — sent the stock tumbling more than 6 percent in intraday trading.
The decision — which came the same day Uber’s existing license was set to expire — will not immediately pull the company’s cars off London’s streets. Uber said it will appeal the move, which it called “extraordinary and wrong.”
“On behalf of the 3.5 million riders and 45,000 licensed drivers who depend on Uber in London, we will continue to operate as normal and will do everything we can to work with TfL to resolve this situation,” Jamie Heywood, Uber’s regional general manager, said in a statement.