The funding round is an example of the broader trend of how pension funds, sovereign wealth funds, family offices and large asset managers that have traditionally invested in public companies are now putting more of their money into private tech startups in hopes of better returns.
Lyft is Uber’s main competitor in the United States, although Lyft has trailed Uber in market share in most regions of the country. The company has heavily invested in growth, and so far this year has expanded its service to 100 new cities, bringing the total number of cities in which Lyft operates to 300.
In the first quarter this year, Lyft said it completed 70.4 million rides, up nearly two-and-a-half times from the same time period a year ago.
Uber, too, continues to grow, despite a series of recent embarrassments that include allegations of sexual harassment from a former employee, a video that was released of Chief Executive Officer Travis Kalanick harshly berating a driver, a lawsuit from Alphabet Inc’s <GOOGL.O> self-driving car unit accusing Uber of stealing intellectual property and a succession of executive departures.
