Engine Capital nominates two directors for Lyft board

Published 16/04/2025, 13:10
Engine Capital nominates two directors for Lyft board

NEW YORK - Engine Capital LP, owning about one percent of Lyft Inc. (NASDAQ: LYFT), has nominated two independent candidates for the ride-hailing company’s board, signaling a push for changes following years of performance concerns. The activist investor filed a preliminary proxy statement for the election of Alan L. Bazaar and Daniel B. Silvers at Lyft’s 2025 Annual Meeting of Shareholders.

In the statement, Engine Capital criticized the current board’s oversight, citing negative total shareholder returns and underperformance compared to its closest peer, Uber Technologies, Inc., over various time periods. The investor group highlighted issues such as shareholder dilution and governance policies, including a dual-class share structure, which they find unjustifiable given the founders’ reduced stakes and lack of executive roles.

Arnaud Ajdler, Founder and Portfolio Manager of Engine, expressed disappointment with Lyft’s leadership, emphasizing the need for shareholder-driven change. According to Ajdler, the board’s lack of public market experience and reluctance to engage with Engine Capital’s proposed director candidates have necessitated the nomination of Bazaar and Silvers, who bring substantial experience in corporate finance, governance, and capital allocation.

Bazaar’s background includes serving as CEO of Hollow Brook Wealth Management and holding positions on various corporate boards, such as Orthofix Medical Inc. (NASDAQ: OFIX). Silvers, managing Matthews Lane Capital Partners, has a history of C-level executive roles and board memberships, including at MRC Global Inc. (NYSE: MRC).

Engine Capital, a value-oriented fund focusing on companies undergoing change, advocates for the election of its nominees to address what it sees as Lyft’s glaring issues. The investor group remains open to a constructive resolution with the company.

The information is based on a press release statement, with Engine Capital strongly advising Lyft shareholders to read upcoming proxy materials for important information. The proxy statement and related materials will be available on the SEC’s website.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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