Eric Sheridan

Stephen Ju

Benjamin Black

Douglas Anmuth

John Blackledge

Kenneth Gawrelski

Michael Morton

Nikhil Devnani

Shweta Khajuria

Steven Fox

Bradley Erickson

Brian Nowak

Bryan Smilek

Ken Gawrelski

Mark Mahaney

Michael McGovern

Rohit Kulkarni

- Lyft announced the pricing of **$450 million** aggregate principal amount of Convertible Senior Notes due **2030** in a private offering, with settlement expected on **September 5, 2025**.  **[1759509_df921cbf177c4045aa9ffdd854845c36_0]** 
- The offering is anticipated to generate approximately **$438.8 million** in net proceeds for Lyft.  **[1759509_df921cbf177c4045aa9ffdd854845c36_0]** 
- Lyft intends to use approximately **$37.8 million** of the net proceeds to pay for capped call transactions and **$95.7 million** to repurchase approximately **5.7 million shares** of its Class A common stock.  **[1759509_df921cbf177c4045aa9ffdd854845c36_2]** 
- The notes will mature on **September 15, 2030**, and have an initial conversion price of approximately **$23.52 per share**, representing a **40.0%** conversion premium to the Class A common stock's closing price on September 2, 2025.  **[1759509_df921cbf177c4045aa9ffdd854845c36_0]** **[1759509_df921cbf177c4045aa9ffdd854845c36_1]**

Lyft Prices Convertible Senior Notes Offering

- California lawmakers have reached an agreement with rideshare companies, including Lyft, to allow drivers to **unionize and collectively bargain** while remaining classified as independent contractors.  **[1759509_ba4150372b224b1e9de13b72e3e15dbb]** 
- This agreement includes legislation that **significantly lowers uninsured motorist insurance requirements** for rideshare companies from **$1 million to $60,000 per driver and $300,000 per incident**, which is expected to reduce their liability costs.  **[1759509_ba4150372b224b1e9de13b72e3e15dbb]** 
- Lyft's financial situation is concerning, with an **Altman Z-Score of -0.85** indicating distress and a **risk of bankruptcy within two years**, alongside negative operating margins and liquidity constraints.  **[1759509_ba4150372b224b1e9de13b72e3e15dbb]**

Lyft: California Legislation Impacts Driver Rights and Insurance Costs

Lyft (LYFT)