Lyft Raises $1 Billion; Valued at $5.5 Billion

Lyft, Inc., a San Francisco, CA-based rideshare platform, is closing a $1 billion funding round.

Backers included:
– General Motors Co. (NYSE: GM, TSX: GMM), which invested $500m and will also have a seat on Lyft’s board,
– Kingdom Holding Company, which invested $100m making the total investment of Kingdom Holding and its affiliates approximately $250m,
– Janus Capital Management,
– Rakuten,
– Didi Kuaidi and
– Alibaba.

The round valued the company at $5.5 billion, post money.

In addition to the investment, General Motors and Lyft are creating an Autonomous On-Demand Network and will also work together on a series of national rental hubs where Lyft drivers can rent short-term vehicles.

Founded in June 2012 by Logan Green and John Zimmer, Lyft is a rideshare company available in more than 190 cities in the U.S. In October, the company reached an annual gross run rate of $1 billion and surpassed more than 40 percent market share in San Francisco and Austin.
Since 2013, Lyft has raised more than $2 billion.

FinSMEs

04/01/2015