Lyft Inc. (NASDAQ:LYFT) shares are trading higher Wednesday following reports that activist investor Engine Capital has taken a stake in the company and is pushing for a strategic review.

What To Know: According to Bloomberg, the investment firm has acquired about a 1% stake, valued at approximately $50 million and has been engaging with Lyft management to express concerns over the company's stock performance, strategic direction, and corporate governance.

Engine Capital is urging Lyft to conduct a strategic review, improve capital allocation, and eliminate its dual-class share structure, which currently gives co-founders disproportionate control. Initial reports mistakenly suggested Engine Capital's stake was $500 million, but that figure has since been corrected.

Lyft has not yet commented on the reports and Engine Capital has declined to provide further details.

LYFT Price Action: Lyft shares were up 2.29% at $12.50 at the time of writing, according to Benzinga Pro.

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