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3/16, 8:57 PM (Source: TeleTrader)
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Investors urge Lyft to reconsider share structure plans

A number of Lyft's investors called for the ride-hailing startup to scrap its plans for a dual-class share structure, the Financial Times reported on Saturday.

In regulatory filings made this month, Lyft disclosed that it planned to create a new class of shares that would carry 20 votes each. That would give its founders Logan Green and John Zimmer voting power which would exceed the portion of the company that they own ahead of its IPO. In their letter to the company, the investors, which included the United Kingdom’s Local Authority Pension Fund Forum and BNP Paribas Asset Management, urged Lyft to stick with its single class of shares or alternately adopt a "sunset" provision that would phase out the extra voting rights within seven years.

Green and Zimmer are expected to make their case to investors when the company launches its IPO roadshow on Monday. It is set for a stock market debut at the end of the month and anticipates that it will raise up to $100 million in the process.

Breaking the News / DZ