Nasdaq is featuring for the first-time here on Ridesharingforum.com. Congratulations! Lime, a transportation company that offers eScooters, which is supported and managed by Uber, has recently raised $167 million in its initial public offering, or IPO, in the USA, pricing 6.68 million shares at $25, adding to Nasdaq’s listing calendar that’s starting to look and get busy again.
In other words, the company is successfully debuting on Nasdaq!
Lime raised this amount in its initial public offering in the United States, joining a growing list of companies tapping a revived market for brand-new listings.
The eScooter company, formally pertained to as Neutron Holdings, is achieving this amidst the gaining of momentum of the market for new listings after a string of volatility occurred, with companies reviving IPO plans as resilient equity markets and a surf-wave of high-profile offerings bolster and attract investor appetite.
Founded in 2017, Lime is a San Francisco, California-based company providing short-term rentals of eBikes or electric bikes, as well as scooters, in over 230 cities across the globe.
Demand for their products and services recently jumped as commuters, specifically in densely-populated urban centers, are picking shared eBikes and eScooters for short trips, instead of the usual car rides, since these bikes are cheaper and relatively more convenient.
That said, its revenue last year of $886.7 million was an almost 30 percent jump from the $687 million it reported a year earlier. Meanwhile, net losses widened to $59.3 million during the same period. Talk about strength!
In 2020, you can recall that Uber led a funding round for Lime, indicating interest in purchasing up to $20 million in shares in the IPO. A huge portion of the share of Lime’s revenue comes from its tie-up with Uber, whose app offers Lime scooters.
In 2019, Lime was valued at $2.4 billion, then reduced this valuation to about $510 million in 2020, ridesharing media reported.
The Nasdaq, which you commonly see mentioned on CNN, is the international second-largest stock exchange by market capitalization and the first fully electronic stock market. It stands for National Association of Securities Dealers Automated Quotations, it is known for its significant concentration of technology and growth-oriented companies.
When a company goes public through an IPO, it transitions from a private entity to a publicly-traded corporation by offering shares to the general public. This process lets it raise capital, create liquidity for early-bird investors, and impose stricter regulatory rules and increased public transparency. Lime will trade on Nasdaq under the ticker symbol “LIME,” so watch very closely!