As Lyft buyout rumors continue to heat up, the latest word from negotiations suggests that the company is asking would be buyers for at least $9 billion, specifically General Motors.
While the company has also attempted to create a bidding war by soliciting offers from Microsoft and even direct competitor Uber, nobody is currently interested in driving prices any higher. Lyft has categorically denied having to lower its asking price, but there is no avoiding the fact that negotiations have been slower than they originally anticipated.
Uber is currently dominating the industry and has already given customers two billion rides, as Lyft is still yet to cross the billion ride milestone. However, things are trending upwards for the company, as they reported a record number of passengers for the month of July (nearly 14 million).
Lyft can also boast about its three million active passengers each month and is currently at its all time highest number of daily passengers since its inception. These numbers are music to the ears of Lyft supporters, but have not done much to make General Motors or Uber sit up and take notice.
According to Bloomberg reports, Uber is not willing to back off of their $2 billion offer to purchase Lyft and even if the company were willing to accept this lower offer, there is serious skepticism among industry analysts that the transaction would be legal under the current antitrust laws in the United States.
There is also a sense that Uber is purposefully leaking these lower numbers in an effort to destroy Lyft’s credibility during their General Motors negotiations. Thanks to an investment of $550 million from General Motors during the early stages of the year, Lyft is currently valued at a not too shabby $5.5 billion.