Lyft Plumbs Record Lows as Uber Prepares for 2019's Biggest IPO Filing

Bloomberg) -- Lyft Inc. shares took yet another nosedive on Wednesday amid reports that larger rival Uber Technologies Inc. could be filing for an initial public offering as soon as Thursday. The shares are plumbing record lows, down as much as 7.7 percent in New York.

Uber’s offering is expected to be the largest U.S. IPO this year and among the 10 largest of all time, and a person familiar with the matter said the company is seeking to raise about $10 billion. That compares with the $2.3 billion raised when Lyft went public late last month.
Lyft had opened its trading in March amid lots of hype, largely due to being the only publicly listed ride-sharing company. However, the shares have dropped nearly 12 percent since then, and now with Uber joining the fray, demand for Lyft stock may take a hit.
“Given the substantial market opportunity and investor interest in the secular ride-sharing opportunity, Lyft will likely benefit from being the only direct publicly traded play on the ride-sharing market,” Susquehanna analyst Shyam Patil said ahead of Lyft’s trading debut. “However, once Uber goes public (expected in the mid-April timeframe), we could see outflows as investors seek to invest in Uber.”
--With assistance from Drew Singer.
To contact the reporter on this story: Esha Dey in New York at edey@bloomberg.net
To contact the editors responsible for this story: Brad Olesen at bolesen3@bloomberg.net, Catherine Larkin
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Esha Dey

Lyft Plumbs Record Lows as Uber Prepares for 2019's Biggest IPO Filing

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