Earlier this month we presented our analysis of Lyft
ahead of its IPO. This was based on the information available at the time which did not include the number of shares offered or the price range. The company has now updated this information and based on this we can provide more clarity. Unfortunately, the company seems to be setting itself up for an aggressive IPO in terms of valuation. The valuation is stretched
Lyft is offering 30 million shares in the price range $62-68 per share. At the mid-price the company is set to raise $1.95 billion with the intention to use around $404.8 million to fund its RSU (restricted stock units) settlement with employees as described in our earlier analysis. The number of shares post IPO will be 284,147,300 shares translating into a free float of 12.2% excluding the over-allotment option (4,615,500 shares) to the underwriters.