Followers | 690 |
Posts | 144032 |
Boards Moderated | 35 |
Alias Born | 03/10/2004 |
Monday, April 26, 2021 7:53:24 PM
By: TheStreet | April 26, 2021
• Sale of self-driving unit seen speeding EBITDA profitability at rideshare company.
Lyft, Inc. (LYFT) said Monday after the bell it has agreed to sell its Level 5 self-driving vehicle division to a unit of Toyota Motor Corp. for $550 million.
The ridesharing company said the deal will accelerate its path to profitability, largely by reducing R&D spending.
Level 5 is being sold to Woven Planet Holdings, Inc., a subsidiary of Toyota. Lyft launched its Level 5 unit in 2017 to develop its own self-driving technology. The company said it will now focus on its open platform unit to integrate third-party self-driving technologies with its dispatching network.
"This partnership will help pull in our profitability timeline," Lyft Co-Founder and President John Zimmer said in a statement. "Assuming the transaction closes within the expected timeframe and the COVID recovery continues, we are confident that we can achieve Adjusted EBITDA profitability in the third quarter of this year."
The deal is expected to cut $100 million of Lyft’s non-GAAP operating expenses a year, “primarily from reduced R&D spend,” The statement said.
Lyft will receive $200 million up front, once the transaction closes in the third quarter, with payments of the remaining $350 million spread over five years, according to the statement.
Woven Planet and Lyft have signed commercial agreements for the utilization of Lyft system and fleet data to accelerate the safety and commercialization of the automated-driving vehicles that Woven Planet will develop, according to the statement.
Shares of Lyft rose $1.15, or 1.8%, to $64.21 in after-hours trading. In Toyota ADRs (TM) were little changed in after-hours action.
Lyft and rival Uber UBER have recently been seen as benefiting from economic reopenings as pandemic worries ease in the U.S.
In December, Uber sold its self-driving division to Aurora.
Uber weathered the coronavirus in part because of its Uber Eats food delivery unit, which saw sales surge during lockdowns.
Earlier this month TheStreet's Jim Cramer said he was bullish on Uber following its latest results.
Read Full Story »»»
DiscoverGold
Information posted to this board is not meant to suggest any specific action, but to point out the technical signs that can help our readers make their own specific decisions. Caveat emptor!
• DiscoverGold
Recent LYFT News
- Lyft and Mobilitas Insurance Companies Renew Commercial Insurance Partnership • PR Newswire (US) • 10/01/2024 04:00:00 PM
- Form 4 - Statement of changes in beneficial ownership of securities • Edgar (US Regulatory) • 09/18/2024 10:51:57 PM
- Form 4 - Statement of changes in beneficial ownership of securities • Edgar (US Regulatory) • 09/16/2024 08:58:30 PM
- Form 144 - Report of proposed sale of securities • Edgar (US Regulatory) • 09/16/2024 08:43:29 PM
- Form 144 - Report of proposed sale of securities • Edgar (US Regulatory) • 09/12/2024 08:38:26 PM
- Form 8-K - Current report • Edgar (US Regulatory) • 09/04/2024 11:40:41 AM
- Form 4 - Statement of changes in beneficial ownership of securities • Edgar (US Regulatory) • 08/29/2024 10:16:33 PM
- Form 144 - Report of proposed sale of securities • Edgar (US Regulatory) • 08/29/2024 08:04:36 PM
- Form 144 - Report of proposed sale of securities • Edgar (US Regulatory) • 08/29/2024 08:03:45 PM
- Form 144 - Report of proposed sale of securities • Edgar (US Regulatory) • 08/27/2024 09:37:06 PM
- Lyft CEO & CFO to Participate in Fireside Chat Hosted by Goldman Sachs • Business Wire • 08/27/2024 08:05:00 PM
- Lyft and Payfare Announce Launch of New Features for the Lyft Direct Debit Card and Banking App • PR Newswire (US) • 08/27/2024 11:00:00 AM
- Lyft and Payfare Announce Launch of New Features for the Lyft Direct Debit Card and Banking App • PR Newswire (Canada) • 08/27/2024 11:00:00 AM
- Form 3 - Initial statement of beneficial ownership of securities • Edgar (US Regulatory) • 08/27/2024 12:53:16 AM
- Form 4 - Statement of changes in beneficial ownership of securities • Edgar (US Regulatory) • 08/23/2024 12:01:02 AM
- Form 4 - Statement of changes in beneficial ownership of securities • Edgar (US Regulatory) • 08/22/2024 11:59:50 PM
- Form 144 - Report of proposed sale of securities • Edgar (US Regulatory) • 08/20/2024 09:13:19 PM
- Form 4 - Statement of changes in beneficial ownership of securities • Edgar (US Regulatory) • 08/13/2024 08:07:54 PM
- Form 10-Q - Quarterly report [Sections 13 or 15(d)] • Edgar (US Regulatory) • 08/07/2024 08:09:21 PM
- Form 8-K - Current report • Edgar (US Regulatory) • 08/07/2024 10:02:25 AM
- Lyft Announces Q2 2024 Results, Including First-Ever Quarter of GAAP Profitability • Business Wire • 08/07/2024 10:00:00 AM
- US Index Futures Rise Amid Earnings Season Optimism, Oil Prices Rebound • IH Market News • 08/07/2024 09:49:12 AM
- Alphabet Unveils AlphaProof and AlphaGeometry 2; OpenAI Tests SearchGPT; Apple Loses Market Share in China • IH Market News • 07/26/2024 10:07:41 AM
- Lyft and Everlance Partner to Provide Tax Savings to Drivers • PR Newswire (US) • 07/25/2024 07:00:00 PM
- Lyft and Payfare Announce Long Term Extension of Lyft Direct Program • PR Newswire (US) • 07/25/2024 11:00:00 AM
North Bay Resources Announces Assays up to 5 oz/ton Gold, 1.5 oz/ton Platinum, 0.5 oz/ton Palladium, and 0.5 oz/ton Rhodium at Mt. Vernon Gold Mine, Sierra County, California • NBRI • Oct 4, 2024 9:15 AM
Basanite, Inc. Appoints Ali Manav as Interim Chief Executive Officer • BASA • Oct 3, 2024 9:15 AM
Integrated Ventures Announces Launch of MedWell Facilities, LLC and Lease Agreement with Giant Fitness Clubs • INTV • Oct 3, 2024 8:45 AM
Beyond the Horizon: Innovative Drug Combinations Offer New Hope for Alzheimer's and More • NVS • Oct 3, 2024 8:45 AM
SMX and FinGo Enter Into Collaboration Mandate to Develop a Joint 'Physical to Digital' Platform Service To Enhance Natural Rubber Industry's Ability to Report on Sustainable and Ethical Supply Chains • SMX • Oct 3, 2024 7:00 AM
Transforming Alzheimer's Treatment: Innovative Combinations to Boost Cognition • PFE • Oct 2, 2024 9:00 AM