US-based ride sharing service Lyft raised $150m on Friday to extend its series E round to $680m, after securing $530m in March this year from investors including internet services company Rakuten.
The extension was led by Icahn Enterprises, a diversified holding company majority-owned by investor Carl Icahn, which provided $100m, while the remaining investors remain undisclosed. Rakuten led the first series E tranche.
Lyft operates a cab hailing app similar to competitor Uber’s, aiming to make up for its smaller market share and funding size by positioning itself as a more customer-friendly and fun alternative.
Founded in 2007, Lyft has now raised more than $1bn in total. The company previously attracted $250m in an April 2014 series D round backed by e-commerce company Alibaba, Coatue Management, Third Point Ventures, Andreessen Horowitz, Founders Fund and Mayfield Fund.
Icahn Enterprises’ managing director, Jonathan Chistodoro, will join Lyft’s board in conjunction with its investment.
Carl Icahn said: “We are very happy to be investing in Lyft. I believe that ridesharing is poised to become a fundamental component of our transportation infrastructure.
“The company’s revenue growth to date has been extremely compelling, and increasing urbanization over the next five to 10 years should enable the company to maintain that trajectory.”