Lyft raises $500 million amid turmoil at Uber

Ride-hailing start-up Lyft has raised a new $500 million round of funding, a source told CNBC, bolstering its valuation to about $7.5 billion, postmoney, as rival Uber faces scrutiny.

Lyft was last valued at $5.5 billion in 2015, according to researchers at CB Insights. Some details of the funding round were previously reported by the Financial Times and The Wall Street Journal.

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Once known for adorning cars with fluffy pink mustaches, unicorn Lyft has launched an aggressive expansion. In January, Lyft said it planned to add 100 cities this year, increasing its coverage to 300 cities across the country — and it is already closing in on that goal.

The new half-a-billion dollar round comes amid turmoil at rival Uber, which has faced one controversy after another in recent months. Still, Uber is valued at about $68 billion, according to CB Insights — about 9 times more than Lyft.

— Reporting by CNBC's Deirdre Bosa. Written by Anita Balakrishnan.