Cab-hailing app Lyft has created history by raising over US$24 Billion in its IPO.
Soon Big Brother Uber too is going for public listing. Evidently, investors are betting big on them.
Why is it so?
To know more about the Leading Global Cab-hailing apps and the reasons why there’s no stopping them when it comes to raising funds.
News of the Day
Ride-sharing app Lyft's IPO zooms right from the start, brings in $24 Billion
In a testimony to the strength of the global app-based transportation companies, Lyft was valued at USD 24.3 billion in the first ever IPO of a ride-hailing start-up.
This valuation makes it the biggest company to go public, since Alibaba Group in 2014.
About Lyft
Lyft was founded in 2012 and is based in San Francisco, California. It so far operates only in the U.S. and Canada.
It provides over 1 million rides per day and has nearly 40% share of the US ride-sharing market.
Uber to follow suit
Lyft’s IPO paves the way for the stock market debut of its bigger rival Uber.
It is likely to come up in April and the company could be valued at more than USD 100 billion.
Investors betting on Lyft
The success of the IPO came despite Lyft’s steep losses of USD 900 million last year.
Investors are confident that their move will pay off, as the ride-hailing industry is expected to grow rapidly in the coming years.
This is so as more and more young people in big cities are choosing not to buy their own car and instead preferring cabs for commuting.
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