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Lyft hikes IPO target to $70-$72 a share | KX NET

SAN FRANCISCO (AP) – Lyft is lifting the price target for its initial public offering in a sign of the excitement surrounding the stock market debut of a ride-hailing service that’s gaining ground on its rival Uber.

With the revision disclosed Wednesday, Lyft is now seeking $70 to $72 per share, up from its previous goal of $62 to $68. If it attains its new pricing goal, Lyft will have a market value of about $24 billion, even though the San Francisco company still hasn’t turned a profit since co-founders Logan Green and John Zimmer started the service in 2012.

Since then, Lyft and Uber have combined to popularize the trend of summoning a ride on a smartphone app that connects them to drivers who use their own cars to pick up passengers. The fares are split between the drivers and the ride-hailing companies that make the connections.

The trend has turned into a worldwide cultural phenomenon with plenty of room with future growth, the key reason why so many investors appear to want a slice of the action now. Uber is expected to price its IPO later this spring.

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Lyft hikes IPO target to $70-$72 a share.