Lyft Prices I.P.O. at $72 a Share | NYT

Driving change

"In its offering prospectus, Lyft revealed that it lost close to $1 billion in 2018. Lyft and Uber regularly lose money in their competition to win new markets, where they spend amply on subsidies for riders and drivers. The companies also burn cash on other transportation initiatives, like bikes, scooters and autonomous vehicles. Last year, Lyft bought the largest bike-sharing company in the United States for around $250 million.

“With Lyft, obviously, the market is saying, ‘We’re willing to give you the benefit of the doubt on a lot of things,’ given that there are huge uncertainties about its future,” Mr. Ritter said.

At its I.P.O. price, Lyft’s market value puts it within range of old-line auto companies like Ford Motor. It is a significant increase from the $15.1 billion that Lyft earned in its last private fund-raising round last year."

Lyft Prices I.P.O. at $72 a Share | NYT