Uber (NYSE:UBER) shares rose Thursday following a Bloomberg report that Uber is considering spinning off its freight logistics division. The freight unit had $1.5 billion of revenue in the fourth quarter.
The San Francisco-based ride-share would make the move to continue focusing on its ride-sharing and food delivery businesses, Bloomberg reported, citing people familiar with the matter.
The news outlet added that the freight unit has struggled in recent months and is in the process of laying off 3% of its workforce, as it deals with a cyclical downturn in the business. If it decides on an IPO, it may not come until next year.
The unit accounts for 18% of Uber’s total revenue, generating $1.5B in its most recent quarter.
Earlier this week, Uber announced a new partnership with Tampa International Airport, bringing mobile ordering to the airport’s more than 21 million visitors and workers each year.
Tampa Airport International Airport is Uber’s first official U.S. airport partner, after successful operations at the Toronto Pearson Airport and pilots at John Glenn International Airport and Charlotte Douglas International Airport. With this expansion, consumers will be able to order ahead and skip the line at more than 20 concession locations. Uber One members will enjoy their benefits at Tampa International Airport, which includes discounts on eligible orders.
UBER shares acquired 16 cents to $34.17.