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Here’s who’s getting rich from Lyft’s enormous IPO

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Here’s who’s getting rich from Lyft’s enormous IPO

lyft

Lyft CEO and cofounder Logan Green.

David Paul Morris/Bloomberg via Getty Images

  • The S-1 paperwork for Lyft’s anticipated multibillion IPO is now open to the public.
  • It lists who the major shareholders are.
  • These are the people that will cash in big time should the stock sale go well.

The S-1 paperwork for Lyft’s anticipated multibillion IPO is now open to the public, and it lists who the major shareholders are. These are the executives and venture investors who will reap a huge financial windfall should the public love the stock and drive the share price up.

While we don’t know exactly how much this IPO will enrich each one of the early investors until the shares are priced, Lyft has revealed how many shares these people own. Bankers reportedly expect the IPO to value the company between $20 billion and $25 billion, up from its last private financing round, which valued the company at $15 billion.

Here are all the people with sizeable stakes in the ride-hailing company:

Logan Green, cofounder and CEO


Laura Buckman/Reuters

Green and cofounder John Zimmer began their collaboration in 2007 with a service called Zimride that helped people find carpools via Facebook.

In 2012, they launched a ride-sharing service that used a mobile app called Lyft. It took off from there.

Green is the second-largest individual shareholder among company executives. He owns just under 1.2 million shares of stock.

John Zimmer, cofounder and president


John Sciulli/Getty Images for Lyft

Zimmer spent a lot of time in college finding carpoolers to share his ride as he regularly drove from Cornell in upstate New York to New York City. He was introduced to Green over Facebook by a mutual friend. A week after they met, they were working on Zimride together, so the story goes.

Zimmer is also the second-largest shareholder of stock among Lyft’s executive ranks, sharing that spot with his cofounder. He owns the same exact number of shares, almost 1.2 million.

Hiroshi Mikitani for Rakuten


Michael Seto

The Japan-based e-commerce powerhouse Rakuten poured $300 million into Lyft in 2015 as part of a broader, $530 million financing round, and Rakuten’s founder and CEO joined the board.

Rakuten also bought more shares in subsequent rounds, making it the single largest shareholder of the company.

Rakuten owns nearly 31.4 million shares, or 13% of the company, which are managed by its founder and CEO Hiroshi Mikitani.

General Motors and Fidelity


Bill Pugliano/Getty Images

General Motors and Fidelity each own nearly 19 million shares, almost 8% of the company each.

The mutual-fund giant Fidelity often invests in late-stage unicorn startups, but GM’s buy-in is more interesting.

In 2016, GM was rumored to have tried to buy Lyft outright for between $4.5 billion and $6 billion, but Lyft turned the offer down.

So GM invested. The two were supposed to have struck up a strategic partnership over self-driving cars. But Lyft has also taken investment from GM rivals, such as Ford, though not at the same level.

Ben Horowitz for Andreessen Horowitz


C Flanigan/Getty Images

Andreessen Horowitz was a fairly early investor in Lyft, joining the company’s series C funding round of $60 million in 2013.

The venture-capital firm then kept buying more shares in each subsequent round, gradually amassing a substantial chunk of the company.

Andreessen Horowitz now owns more than 15 million shares, or 6.25% of the company, which are overseen by the firm’s partner Ben Horowitz.


Getty / Paul Zimmerman

David Lawee, who previously did mergers and acquisitions for Google, is the big-cheese partner for CapitalG, the growth-stage investment arm of Google’s parent company, Alphabet.

He led a massive $1 billion round for Lyft in 2017 for CapitalG, just a few months after Lyft’s previous $600 million raise.

The investment was widely interpreted as Google’s effort to switch horses in the ride-hailing race. Google had, years earlier, invested in Uber, but Google and Uber had locked horns competing over self-driving cars.

Twenty-five other investors piled in, bringing the total raised in the round to $1.7 billion.

CapitalG has nearly 12.6 million shares of Lyft, or a 5.23% stake.

Ran Makavy, chief product officer


LinkedIn

Ran Makavy joined Lyft in 2016 after a four-year stint at Facebook, according to his LinkedIn profile. He started as vice president of growth and has since moved up to the positions of executive vice president and chief product officer.

In addition to his 562,000 shares of Class A stock in Lyft, Makavy is listed among the company’s executives with the highest compensation, which included a 2018 salary of roughly $393,000.

Jon McNeill, chief operating officer


LinkedIn

John McNeill left his job at Tesla as the head of global sales and marketing a year ago — as the electric-car maker was scrambling to produce its Model 3 — and joined Lyft as its chief operating officer.

McNeill has 824,000 shares of Lyft. According to the filing, the value of his total compensation package in 2018, including a $419,000 salary and stock awards, was $32.4 million.

Jonathan Christodoro for Icahn Enterprises


Neilson Barnard/Getty Images for New York Times

Icahn Enterprises is the investment company best known for its activist billionaire investor leader, Carl Icahn (pictured above). It bought into Lyft as part of the round led by Rakuten, and Jonathan Christodoro, Icahn Enterprises’ managing director, joined the board. The company’s stake consists of 12,856 Class A shares, according to the S-1.


AP

A former senior adviser to President Barack Obama, Valerie Jarrett joined Lyft’s board of directors in July 2017. She has more than 11,000 shares, according to the S-1.

The Saudi billionaire Prince Al-Waleed bin Talal.

AP Photo/Majdi Mohammed, File

Lyft raised nearly $5 billion in its life as a startup from over 115 investors. Most of them remain active investors, according to the online database Pitchbook, which is the keeper of such records (most of these people and companies are not listed in Lyft’s S-1).

Other investors include:

  • The Chinese rideshare company Didi Chuxing.
  • Floodgate Fund’s Ann Miura-Ko, who invested in several early rounds. Floodgate owns more than 1.5 million shares.
  • The Saudi Kingdom Holding Co., founded by the nation’s wealthiest investor, Prince Al-Waleed bin Talal (who was arrested and later released by Crown Prince Mohammed bin Salman).
  • Angel investments from David Sacks of Yammer and Zenefits fame, Troy Carter of Lady Gaga fame, and others.
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