[ealexhudson]

I genuinely don't understand this. They can't realistically need the money, since they just raised. There's no fundamental change to their numbers or outlook in a month. There's been no obvious regulatory relaxation to take advantage of. Even if I buy the "Uber might buy us" thesis, surely it's better value for me as an existing investor to get a bigger portion of a slightly smaller check, than try to fix in an astronomical valuation by bailing more cash into the business? I really don't get the sense in this move at all.

[usrusr]

> They can't realistically need the money, since they just raised.

Keep that very same money from getting showered on a competitor? If a large chunk of money is looking for a foot on the ground in your market, opening your hands and taking it might be the only way to survive.

[monocasa]

They've gotten significantly more press outside of San Fran in the past month.

[ealexhudson]

Sure, and if they manage to fix a valuation of $1.5B or even $2B, it will drive a lot more press. Are they then going to go out in July and hoover up a bunch more cash?

I understand that when a capital-intensive business sees an opportunity to grab some cash, it can make a lot of sense. There's more constraints than the scooters for them - finding the right locations, setting up bird squads, ensuring there's a kind of natural circle of travel rather than a tide of commuting. And, of course, marketing all of that at the right time. Some of that $$$ can solve, but it doesn't feel like they're at the point they can just step on the gas.