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Instacart cuts internal valuation to $10 billion- The Information

Published 12/27/2022, 08:40 PM
Updated 12/27/2022, 08:46 PM
© Reuters. FILE PHOTO: Smartphone with displayed Instacart logo is seen in this illustration taken March 25, 2022. REUTERS/Dado Ruvic/Illustration

(Reuters) - Grocery delivery start-up Instacart has cut its internal valuation to $10 billion, the Information reported on Tuesday, citing two people familiar with the situation.

The company, whose new valuation is 20% lower from $13 billion in October, has been cutting its valuation this year, beginning with a 40% reduction in March.

Instacart did not immediately respond to a Reuters' request for comment on the report.

© Reuters. FILE PHOTO: Smartphone with displayed Instacart logo is seen in this illustration taken March 25, 2022. REUTERS/Dado Ruvic/Illustration

The COVID-19 pandemic darling was valued at $39 billion last year, as surging infections boosted doorstep deliveries, but the recent cuts in its valuation underscore the effects of public market volatility on high-flying private companies.

The start-up also delayed its much awaited IPO this year amid market uncertainty.

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