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Analysis

Lyft Takes Next Step in Healthcare Journey With IPO Launch

By Jack O'Brien  
   March 29, 2019

The ridesharing giant went public Friday morning with an aim on expanding further into healthcare.

Lyft, Inc. began trading as a public company on the Nasdaq Friday morning, fulfilling one of the most widely anticipated initial public offerings (IPO) in recent memory.

Lyft officially announced its IPO Thursday afternoon, issuing 32.5 million shares of class A common stock at $72 per share, which is expected to bring in around $2.34 billion for the company. 

While most of the focus around Lyft's decision to go public has centered on the forthcoming deluge of major technology companies on Wall Street, attention has also been paid to the healthcare ambitions the ridesharing giant has on its mind.

If Lyft's filings with the Securities and Exchange Commission prior to its IPO are any indication, utilizing its transportation services to make inroads in the healthcare industry remains one of the ridesharing giant's primary goals.

According to its updated S-1 filing from earlier this week, Lyft's mission is to "improve people's lives with the world's best transportation," a slogan that could apply to reducing barriers to care for patients, providers, and employers throughout the healthcare journey.  

Related: Lyft Details Healthcare Risks and Opportunities Ahead of IPO

The San Francisco-based company also intends to build off of its established healthcare relationships, such as the one it maintains with Allscripts, in order to have a foundation for its healthcare plans.

Perhaps the most-widely discussed aspect of Lyft's healthcare plans in its S-1 filing was the use of its concierge offering by healthcare organizations to schedule rides and utilize real-time tracking in an effort to further ensure that patients don't miss appointments.  

The company stated that "thousands of organizations thousands of organizations are using Lyft for healthcare related rides," and intends on expanding those operations in the future.

Lyft and Oak Street Health, an Indianapolis-based primary care provider, announced a project last week to provide additional transportation options to Medicare recipients.

Oak Street Health employees will be able to schedule rides for patients through Lyft to any of the provider's four locations throughout Indianapolis.

Related: Lyft, Oak Street Health Launch Indianapolis Initiative

Jack O'Brien is the finance editor at HealthLeaders, a Simplify Compliance brand.

Photo credit: JYVASKYLA, FINLAND - JANUARY 4, 2018: Lyft logo on smartphone screen. Lyft is an American company offering transportation services online. Illustrative editorial. - Image / Editorial credit: Tero Vesalainen / Shutterstock.com


KEY TAKEAWAYS

The ridesharing giant's IPO on Friday is one the financial industry has been waiting on for some time.

According to public filings with the SEC prior to its IPO, Lyft has detailed plans to further its healthcare business.

The launch of an initiative with Indianapolis-based primary care provider Oak Street Health is one such example of what's to come.


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