Lyft threatens lawsuit against Morgan Stanley, accusing support of short selling

Re:Lyft threatens lawsuit against Morgan Stanley, accusing s... by fnpiop on Saturday April 06, 2019 @08:02PM (#19593829)

EDIT: I actually read the S1 excerpt wrong.

Update: Note that it is carefully worded: "Our directors, executive officers and holders of a substantial portion of our capital stock and securities convertible into our capital stock".

What probably happened is that the company required holders of only a "substantial portion" of stock to sign updated agreements with the underwriters. Neither I nor any of my Lyft stockholding friends ever entered into such an agreement (and Lyft isn't claiming that we, as minor shareholders, did). So as far as I can tell, nothing blocks us from hedging with Morgan Stanley or otherwise.

(Original post was thinking the S1 is wrong; it is not)

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Re:Lyft threatens lawsuit against Morgan Stanley, accusing s... by ikeboy on Saturday April 06, 2019 @09:06PM (#19594102)

Lyft wouldn't be getting upset with Morgan Stanley if all they did was allow minor shareholders who didn't sign agreements to hedge.

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Re:Lyft threatens lawsuit against Morgan Stanley, accusing s... by ikeboy on Saturday April 06, 2019 @08:08PM (#19593846)

Source?

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Re:Lyft threatens lawsuit against Morgan Stanley, accusing s... by fnpiop on Saturday April 06, 2019 @08:26PM (#19593940)

Unfortunately, the actual agreements generally aren't public information. I can't provide mine without risk of loss of anonymity.

Yes, this is a lame answer, but any viewer who has Lyft stock or has friends that do can verify for themselves.

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Re:Lyft threatens lawsuit against Morgan Stanley, accusing s... by bcb1276 on Saturday April 06, 2019 @10:17PM (#19594383)

The lock up agreement is publicly available on the SEC’s website (it’s a material contract and therefore required to be filed as an exhibit to the registration statement). The agreement itself is part of the Investors’ Rights Agreement. See section 2.12

https://www.sec.gov/Archives/edgar/data/1759509/000119312519...

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Re:Lyft threatens lawsuit against Morgan Stanley, accusing s... by ikeboy on Saturday April 06, 2019 @08:35PM (#19593981)

Seems like it'll hit the courts eventually and then we'll find out if there's a loophole or not.

Lyft is certainly claiming there isn't one, and the S1 says the same. If the S1 is false they might have a securities fraud case on their hands.

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Re:Lyft threatens lawsuit against Morgan Stanley, accusing s... by gjap1zq on Saturday April 06, 2019 @09:39PM (#19594233)

What year agreement do you have?

I also signed one - DM me if you want.

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Re:Lyft threatens lawsuit against Morgan Stanley, accusing s... by ikeboy on Saturday April 06, 2019 @10:00PM (#19594311)

FYI, HN doesn't have DMs - you could put a throwaway email in your profile

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Re:Lyft threatens lawsuit against Morgan Stanley, accusing s... by gjap1zq on Saturday April 06, 2019 @10:56PM (#19594497)

Thanks, I thought I had :)

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