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Grocery-delivery service Instacart targets U.S. IPO valuation of up to $7.7B

Published 09/11/2023, 07:05 AM
© Reuters

Investing.com -- Instacart is looking for a valuation of up to $7.73 billion in its highly-anticipated initial public offering in New York, the grocery-delivery business announced on Monday.

The figure -- a sharp decrease from the $39B price tag for the San Francisco-based group two years ago -- is widely seen as a gauge of demand for new tech listings.

In a regulatory filing, Instacart set the IPO at 22 million shares with a targeted price range of $26 to $28 per share. The sale of Instacart's shares, which are expected to start trading on the Nasdaq under the symbol "CART," is seen raising $616 million.

Even at the cut price, Instacart's public flotation is anticipated to be one of the largest this year and help re-energize a flagging U.S. IPO market that has been hit by economic uncertainty and surging interest rates.

A separate listing by British chip designer Arm is widely tipped to be the biggest in 2023, with the SoftBank-backed company reportedly edging closer to securing enough investor support to attain a fully diluted vaulation of as much as $54.5B.

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