Online grocery delivery company Instacart is aiming to go public this autumn at a valuation of as much as $9.3 billion U.S.
According to multiple media reports, Instacart is expected to officially disclose its valuation range later today (September 11). It is being reported that the range is likely to be between $8.6 billion U.S. and $9.3 billion U.S.
While the valuation might seem high at first glance, it is much lower than what the start-up was worth in the recent past. In March 2022, the company was valued at $39 billion U.S.
Instacart’s value has steadily eroded as the price of many technology stocks, particularly unprofitable start-ups, has fallen sharply over the past 18 months.
Instacart’s grocery delivery business exploded during the pandemic as people sheltered-in-place at home. But as shoppers return to stores, the company’s business has suffered.
According to the company, Instacart delivers goods in over 14,000 cities from more than 80,000 grocery stores.
Despite the lowered valuation, Instacart is expected to help reignite an IPO market that has been largely dormant since late 2021.
There haven’t been any notable technology IPOs on Wall Street since December 2021, though that is expected to change this month as British chip designer Arm makes its stock market debut.
Instacart’s stock is expected to trade on the Nasdaq exchange under the ticker symbol “CART.” An exact date for the IPO has not yet been announced.
