Lyft Raises the Stakes With Updated Pricing

Lyft has filed an amended S-1 form with the U.S. Securities and Exchange Commission (SEC) regarding its initial public offering (IPO). The firm now expects to price its 30.77 million shares in the range of $70 to $72, up from the previous range of $62 to $68. Including the overallotment and at the maximum price, the entire offering is currently valued up to $2.55 billion. Lyft intends to list its shares on the Nasdaq under the symbol LYFT.

The underwriters for the offering are JPMorgan, Credit Suisse, Jefferies, UBS Investment Bank, Stifel, RBC Capital Markets, KeyBanc Capital Markets, Cowen, Raymond James, Canaccord Genuity, Evercore ISI, Piper Jaffray, JMP Securities, Wells Fargo Securities, KKR, Academy Securities, Blaylock Van, Penserra Securities, Siebert Cisneros Shank and Williams Capital Group.

Lyft launched its peer-to-peer marketplace for on-demand ridesharing in 2012. Currently, Lyft is one of the largest and fastest-growing multimodal transportation networks in the United States and Canada. To date, the company has facilitated over a billion rides.

[nativounit]

The IPO is expected to be one of the largest since the 2014 offering by Chinese e-commerce giant Alibaba and the largest since the March 2017 IPO of Snap, which raised around $3.4 billion and valued the messaging company at about $33 billion. Snap’s market cap now sits at around $14 billion.

In the filing, Lyft described its finances as follows:

Our revenue was $343.3 million, $1.1 billion and $2.2 billion in 2016, 2017 and 2018, respectively, representing year-over-year growth of 209% from 2016 to 2017 and 103% from 2017 to 2018. We generated Bookings of $1.9 billion, $4.6 billion and $8.1 billion in 2016, 2017 and 2018, respectively, representing year-over-year growth of 141% from 2016 to 2017 and 76% from 2017 to 2018. Our net loss was $682.8 million, $688.3 million and $911.3 million in 2016, 2017 and 2018, respectively, and our Contribution was $82.0 million, $400.9 million and $920.8 million in 2016, 2017 and 2018, respectively.

The company intends to use the net proceeds from the offering for general corporate purposes, including working capital, operating expenses and capital expenditures.

[recirclink id=537664]
[wallst_email_signup]