Economy

Lyft IPO Approaches With 30 Million Shares To Hit Market

Lyft IPO Approaches With 30 Million Shares To Hit Market

Lyft officially kicked off the road show for its initial public offering, saying Monday it plans to put more than 30 million shares up for sale with an anticipated price of between $62 and $68 per share.

Lyft is on track to be the biggest US technology IPO since Snap Inc in 2017, and would be the tenth-largest technology or internet IPO of all time in the United States, according to data provider Dealogic.

It's the first time that Lyft has revealed how much money it hopes to raise in the IPO, and how much it believes it is worth. But Logan Green and John Zimmer are asking would-be investors to award them essentially permanent control over the company.

Including some restricted equity units for employees and others that aren't yet fully available to them, Lyft's valuation could reach as much as $23.3 billion, according to data compiled by Bloomberg.

Shares will be traded on the Nasdaq under the ticker symbol "LYFT". Uber has filed confidentially with the SEC and intends to make its listing plans public in April, according to people familiar with the matter. Uber Technologies Inc.is set to follow smaller rival Lyft out the door in the second quarter, while office chat software maker Slack Technologies Inc. and food-delivery app Postmates Inc. are also considering listings. The shares sold in that private range would value the ride sharer at $18.5 billion.

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After Lyft's IPO, Green, the CEO, and Zimmer, the firm's president, will collectively have just shy of 50 percent of the company's voting rights.

Their firm grip on the company has been criticized by some investors focused on corporate governance. The two cofounders will be issued Class B shares.

Reuters first reported that Lyft may seek to raise as much as $2 billion.

The company's executives warned that the company could struggle to turn a profit, despite a rapidly growing market share.