In the past few day,s there has been lots of rumours about whether Lyft was looking for a buyer. It all started with Lyft hiring acquisition specialists Qatalyst Partners, it seemed that Lyft was preparing for acquisition.
The story really exploded when Forbes reported on Lyft’s alleged attempt to find (and subsequent failure to get) a buyer. The article expands on how Lyft had acquisition talks with companies like Google, Amazon, Apple, Didi Chuxing… and even its main competitor Uber! Ultimately, none of those negotiations led to an acquisition or offer. Additionally, there are signs that General Motors may have attempted to buy Lyft. Although details are murky, it is clear that General Motors did not end up owning the ridesharing company.
Lyft’s vehement denial
All of this speculation around whether or not Lyft tried and failed to find a buyer has portrayed the company in a somewhat less-than-flattering light. Not surprisingly, Lyft has hit back at these allegations in a Business Insider article quoting President and Co-founder John Zimmer, stating that “Lyft is not seeking a buyer”:
Zimmer stressed to Business Insider that the company has never been actively looking for a buyer. It’s already had acquisition offers throughout its history as a company, and Zimmer says that the company is obligated to review them.
It’s likely the world will never know how close Lyft came to being acquired – or whether it was really up for acquisition at all. Another article from Business Insider points out a likely probability – that a tentative offer might have been made, and that Lyft was simply evaluating the offer as part of its fiduciary duty to evaluate any offer to buy the company.