Hours after pink confetti fell from the rafters at a Lyft party and the last bottle of bubbly disappeared, something remained from Lyft’s initial public offering of stock: the $2.3 billion it made from selling shares at $72 apiece. Now, the San Francisco ride-hailing company has the pleasure — or challenge — of spending that pot. Here’s what we know about where that money will go. Drivers: Lyft lost $911 million in 2018. Even taking out noncash charges, its daily operations burned through $281 million in cash last year. Lyft’s new billions will be used in part for keeping the service running day to day, it said in a filing. That includes signing up new drivers and riders. Lyft said it spent $352.3 million on sales and marketing along with passenger and driver incentives in 2018, a figure that has doubled since 2016. Bikes and scooters: Lyft wants to expand from ride-hailing to bike and scooter rentals. It bought bike-rental operator Motivate last year and said it has committed to invest $100 million in the business in New York City over the next five years. It said its contractual obligations in other areas, including the Bay Area where Motivate runs… Read full this story
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