Ride-share aggregator firm Lyft seems to have beaten its closest competitor Uber to become the first one in this category to go public. The initial public offering or IPO of Lyft scheduled to be announced next month will give public an insight about the inner workings of the firm and is also likely to thaw the frozen IPO market which is still suffering from the aftermath of long US government shutdown. Lyft has already submitted its IPO papers with SEC last years and is likely to make its public filing sometime this week stated the Wall Street Journal.
The documents will give markets an insight into its management and account statements that will help investor gauge if the firm is worth the $25 billion valuation. Key queries that potential investors are seeking from the firm’s promoters is about potential of Lyft to achieve profitability, the pace at which it has been able to wrest market share of current leader Uber and risks faced by companies in this line of business. Lyft’s IPO will showcase how it has been able to remain profitable by focusing only on rideshare market of US unlike Uber which is now moving into other avenues like food delivery.
Lyft has ventured into other rideshare businesses like bikes and scooter rental by acquiring bike-share firm Motivate. It is staying away from food delivery and freight like Uber and focusing solely on travel which presents a better growth story to investors Financial results of Uber released last month show that it lost $1.8 billion during 2018 financial year which is lesser than last year when it reported loss of $2.2 billion but its revenue growth also decelerated sharply. Luckily Lyft does not come with this kind of baggage that has surrounded Uber which has been plagued by several scandals including boardroom arguments by founder Travic Kalanick.
With a master’s degree in medical science, Michael is committed to completing case studies on the development and procedures of new medical devices. It contains a vast knowledge base of medical science and technology that clarifies certain key sectors such as surgical devices for the supply and diagnosis of medications. He is naturally experienced and is known for explaining things in a decent way. He is accustomed to riding a bicycle and is a coffee lover.