>> Lyft is racing ahead to an IPO of leaving Uber in the dust. Reuters exclusively reporting Thursday that the second biggest US ride hailing app is close to hiring an initial public offering advisory firm. And that could put more pressure on Uber, already struggling with a range of scandals, says Reuters reporter Leona Baker who broke the story.
>> Uber is so much bigger than Lyft. Lyft, even if it goes public will only be valued at a fraction of what Uber is valued at, so it's hard to say what the impact will be. Some sources I spoke to said that Lyft's timeline is ahead of Uber because they're looking to take advantage of some of Uber's troubles and all the scandals and management changes in recent months.
>> Uber has been the Silicon Valley darling with a nearly $70 billion evaluation. Lyft which was launched three years after Uber was last valued at $7.5 billion. The two are archrivals vying for drivers and passengers alike and losing money as they compete at all costs, and that's a headache for investment bankers.
>> The dilemma for the investment banks, a lot of them are locked up as lenders to Uber>> So if they decide to align with Lyft in an IPO, they could be shut out from a lot of riches later that will come from Uber going public. Uber's new CEO Dara Khosrowshahi in August set a new tentative timeline for Uber's IPO, a year and a half to three years down the road.
>> He replaced Uber co-founder Travis Kalanick, who stepped down following a string of probes into the company's culture of harassment. Meanwhile Lyft is moving on, now available in 40 states and following Uber's self-driving program by forming its own autonomous car division this summer, announcing partnerships with companies such as Ford and Alphabet's Waymo.
An IPO would offer Lyft access to capital beyond the traditional route of private investments. Lyft has been in discussions this month with Google parent Alphabet about securing an investment.