Lyft Inc. is expected to price its shares above the targeted range for its initial public offering, in a sign of strong investor demand ahead of the ride-hailing service’s imminent debut.
Lyft LYFT, -0.26% which is currently conducting a roadshow to market the shares, has told some investors that it is likely to price the stock above its previously targeted range of between $62 and $68 a share, according to people familiar with the deal. While it is unclear what level it will pick when the shares are priced late Thursday, it is unlikely to be as high as $80 and is more likely to be in the low $70s, some of the people said.
That means that Lyft would be valued at more than $23 billion on a fully diluted basis, which was the top end of the range. The shares are to begin trading Friday.
But in a sign of robust investor interest, Lyft has attracted standing-room-only crowds throughout its roadshow that started last Monday.