Uber Technologies Inc.'s new board member, David Trujillo, spearheaded TPG's investments in four startups now valued at more than $5 billion each. After a misstep by his boss, he's taking a seat at one of the biggest -- and most precarious -- of them, whose fate increasingly lies in the hands of its investors.
Trujillo, 41, joined the board of Uber last week, replacing TPG Chairman David Bonderman, who resigned after making a sexist joke. Despite the awkward circumstances of his boardroom debut at the ride-sharing giant, Trujillo will likely settle in quickly, given his close ties to the company since leading TPG's investment in 2013.
Stakes are high as San Francisco-based Uber seeks to rebuild its culture after a series of harassment and discrimination allegations led to mass firings, social backlash and ultimately the ouster of Chief Executive Officer Travis Kalanick. Two of the startup's major investors, TPG and Benchmark Capital, are sending in fresh faces to the eight-person board, with the company's $69 billion valuation at stake.
"TPG has a unique position in the market, where we invest in companies that are both new and big," co-CEO Jim Coulter said. "We need to continue that spark that is Uber but also help it transition to the global marketplace that it is and get the right management in place. We have that skill set, and Trujillo, who knows the company inside and out, can bring the full force of TPG's platform to bear."
Trujillo declined to be interviewed for this article.
A mainstay of San Francisco's tech scene, Trujillo joined TPG in 2006 focusing on technology, media and telecommunication investing for the firm's buyout fund. He later became head of Internet, digital media and communications and expanded into growth investing about five years ago. He's led deals in Uber, Airbnb Inc., Spotify Ltd. and Vice Media Inc. Now he oversees about 10 people, investing across TPG's growth and buyout pools.
"A lot of people in the private equity business play checkers," said Laurence Tosi, Airbnb's chief financial officer and the former CFO at Blackstone Group LP, the world's biggest private equity firm. "He's good at playing chess. He's much more of a strategist and thinker."
Most recently, Trujillo led TPG's $450 million investment in Vice Media, which valued the youth-culture brand at $5.7 billion. He also worked on the firm's forays into Canadian entertainment company Cirque du Soleil Inc., talent and sports agency Creative Artists Agency LLC and beauty-subscription business Ipsy, among others. As a private equity deal-maker in an environment filled with venture capitalists, Trujillo is valued for his big-picture thinking.
"Unlike some other investors, especially here in Silicon Valley, he doesn't get into the minutiae -- he's much more of a company builder at the board and strategic level," said Marcelo Camberos, Ipsy's CEO. Trujillo, who sits on Ipsy's board, led TPG's investment in a $100 million funding round for the San Mateo, Calif.-based business in 2015.
SundayMonday Business on 06/26/2017