Uber-backed electric bike startup Lime hires banks for US IPO, sources say
Founded in 2017 and now led by former Uber executive Wayne Ting, Lime provides short-term rentals of electric bikes and scooters in more than 280 cities in nearly 30 countries, according to its website.
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Lime, a startup backed by Uber Technologies that operates an electric bike and scooter network, has hired investment banks to help it prepare for a long-awaited US initial public offering, according to people familiar with the matter.The San Francisco-based startup is making preparations for a stock market launch that could happen next year, according to three people, with one of them adding Goldman Sachs and JPMorgan Chase have been retained to help with the flotation.The IPO could value the firm significantly higher than its valuation in 2020 when Uber led a funding round, according to the source. Reports at the time pegged Lime's valuation at about $510 million.All the sources spoke on condition of anonymity to discuss confidential deliberations.Lime, Goldman, and JPMorgan declined to comment.Founded in 2017 and now led by former Uber executive Wayne Ting, Lime provides short-term rentals of electric bikes and scooters in more than 280 cities in nearly 30 countries, according to its website.Having eyed the public markets for several years, Lime's latest IPO attempt comes as the listing market is witnessing early signs of a recovery following an arid spell that lasted for more than two years.Earlier in June, stablecoin issuer Circle Internet raised more than $1 billion from its IPO and the company's stock surged on its debut in New York.This year, IPOs in the U.S. have raised nearly $27 billion, up nearly 45% from the same period last year, but still way off the all-time peak of roughly $177 billion that was raised in 2021 during the same period, according to data from Dealogic.A listing for Lime would be a test of confidence in both the IPO market and the kind of technology startup that has been shunned by investors in recent years due to financial struggles.Many companies in the so-called micromobility sector, in which Lime operates, have struggled to overcome regulatory hurdles and the high costs of doing business. Some have filed for bankruptcy, including fellow e-scooter operator Bird.In February, Lime reported a 32% growth in net revenue to $686 million for 2024 and said it was free cash flow positive for the second consecutive year.
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