Waymo raises $2.25 billion from outside investors, parent Alphabet

Business

FILE PHOTO: A Waymo self-driving vehicle is parked outside the Alphabet company’s offices where its been testing autonomous vehicles in Chandler, Arizona, U.S., March 21, 2018. REUTERS/Heather Somerville/File Photo

(Reuters) – Waymo, the self-driving unit of Alphabet Inc (GOOGL.O), said on Monday it has raised $2.25 billion in its first external investment round.

In addition to Alphabet, investors include auto parts supplier Magna International Inc (MG.TO), U.S. dealership chain AutoNation Inc (AN.N), the Canada Pension Plan Investment Board and three large investment firms: Silver Lake, Andreessen Horowitz and Mubadala Investment.

Waymo did not provide a valuation.

Last September, investment bank Morgan Stanley slashed its projected valuation of Waymo to $105 million from its earlier estimate of $175 million, saying the commercialization of self-driving vehicles and technology was taking longer than expected.

Reporting by Neha Malara in Bengaluru and Paul Lienert in Detroit; Editing by Shailesh Kuber and Matthew Lewis

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