FILE PHOTO: The Lyft logo is seen on a parked Lyft Scooter in Washington, U.S., March 29, 2019. REUTERS/Brendan McDermid/File Photo (Reuters) - Lyft is sued by investors over its initial public offering - court filing Lawsuit also names Lyft executives and bank underwriters as defendants. Lawsuit claims Lyft misled investors about its ridesharing position, bicycle safety issues, and labor matters. Lawsuit filed in San Francisco federal court claims Lyft’s false and misleading statements inflated company’s share price, and that investors lost money when the price fell.
US ride-sharing firm Lyft is facing a lawsuit from numerous investors, over claims that it misled them to inflate the company's share price for its IPO. The class-action case, which was filed in San Francisco federal court, alleges that Lyft made false and misleading statements to misrepresent its market position, leading to investors losing money once the share price dropped. Individual executives from the organisations and bank underwriters have also been named as defendants.