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Lime Scooters Cruise Towards $2B IPO
16 May
Summary
- Lime, an Uber-backed company, plans a $2bn IPO.
- The company's fleet and revenue per bike grew last year.
- Lime vehicles now last five years, improving durability.
Lime, a company supported by Uber, is preparing to go public with an estimated enterprise value of $2 billion. This move to Wall Street comes after many shared electric bike and scooter ventures, such as Bird Global and oBike, failed. Lime has successfully built a substantial fleet, a crucial factor for user attraction and service reliability.
Last year, Lime experienced growth in its fleet size and a notable increase in revenue per bike. Its partnership with Uber provided access to a vast user base, aiding early utilization. The company strategically entered markets, differentiating itself with dockless options in cities like London.
Lime's vehicles have also become more durable, with current models lasting up to five years, a significant improvement from earlier iterations that had a lifespan of only a month. This enhanced longevity, coupled with potential mobile advertising on bikes, contributes to its financial viability. The company aims to increase user frequency and city-average revenue to match growth projections.
