A group of investors asks Lyft to abandon its two-class stock structure plan: FT By Reuters

(Reuters) – A group of investors has called on Lyft Inc.'s board of directors to abandon a proposal for a two-clbad share structure, as the hailing company launches its initial public offering to investors next week. reported Saturday the Financial Times.

The Lyft IPO, based in San Francisco, includes a two-clbad share structure: one shareholder clbad gets 20 votes per share and another one vote per share.

The group of investors, in a letter to the directors of the company, said that he should stick to his single clbad of shares with one vote each, the report said.

If the board of directors of the company fails to resolve the problem, it should adopt an "extinguishment" provision to phase out the additional voting rights within seven years, the letter said. , according to the newspaper.

The letter was signed by investors from the UK Local Authority Pension Fund Forum, BNP Paribas (PA 🙂 Asset Management, pension funds representing officials in New York, Los Angeles, Chicago and Ohio, the Teamsters union and retired United Auto Workers union, said the newspaper.

Lyft did not immediately respond to a request for comment from Reuters.

"With a two-clbad structure, Lyft protects in principle, as well as insiders of the company, against shareholders who deserve a vote." An oversized control among a small number without accounts is an unnecessary risk – and Lyft should return to the drawing board, "said New York City controller Scott" Stringer said, according to the Financial Times. "Stringer oversees the city's pension funds.