Uber investor Chris Sacca thinks Carl Icahn made a 'big mistake' backing Lyft

Chris SaccaGeekwireChris Sacca at the Launch Festival in San Francisco

There’s a lot of money sloshing around Silicon Valley, and investor Chris Sacca thinks that Carl Icahn’s recent investment in Lyft is one example of a “big mistake.”

“I think there are naive investors with no discipline, throwing out term sheets at nine figures right now, with no diligence,” Sacca told Emily Chang in an interview with Bloomberg TV.  “Well, if you really look at this thing, it’s not gonna be a two-horse race.  Lyft doesn’t survive.  And Travis is never gonna buy it.”

Lyft raised $US150 million in May at a reported $US2.5 billion valuation for the company. Icahn was responsible for $US100 million in the round.

“I think he made a big mistake,” Sacca said in an interview with Bloomberg’s Emily Chang. “This is a winner take all game.  And Travis will take all.”

It’s not a big surprise for Sacca to back Uber over its competitor. Sacca reportedly owns at least four per cent of the company’s shares although he told Bloomberg that’s not why he would never buy Lyft shares.

“Uber is a better company with better maths, better predictive supply, better brand, lower pickup times, higher quality of service. They will absolutely win.”

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