Ride-hailing and on-demand transportation is rapidly spreading all across the globe with Uber leading the way. But hot on its heels is its major rival Lyft. The ride-hailing giant is all set to launch its awaited IPO as early as next week and is expected to attain an initial valuation of a staggering $23 billion with shares priced between $62 and $68. With this, the San Francisco headquartered ride-hailing giant is expected to raise $2 billion for its operations. The company officially filed all the paperwork for its big day in December in and around the same time as its arch-rival Uber.
But Lyft may have difficult times ahead, the world’s largest ride-hailing titan Uber is set to launch its own IPO which is expected to raise its valuation to a mind-boggling $120 billion, making it’s the largest IPO in history with an extremely wide margin. The current title for the largest IPO is held by the Chinese conglomerate Alibaba Group which went public in 2014, at an evaluation of $25 billion. Uber is all set to surpass it with an IPO that would be nearly 5 times bigger.
Lyft posted revenues of $2.2 billion last year. It has raised $5.1 billion in venture capital to date from some of the biggest names in venture capitalism. It will definitely turn out to a fiercely fought battle for the ride-hailing market.