Instacart’s valuation doubles to $39 billion


Instacart is being valued at $39 billion in a new round of funding that will add $265 million to the grocery delivery company’s coffers. It’s the second time Instacart’s valuation has doubled since the start of the Covid-19 pandemic.

Less than five months ago, Instacart raised $200 million in a deal that valued it at $17.7 billion. 

According to Pitchbook, Instacart is now the second largest U.S.-based unicorn, behind SpaceX, Elon Musk’s space start-up that’s valued at $74 billion.

The adoption of grocery delivery has skyrocketed during the pandemic as consumer demand for grocery and convenience delivery and pickup services surged. “This past year ushered in a new normal, changing the way people shop for groceries and goods,” Instacart Chief Financial Officer Nick Giovanni said in a press release.   

Technology IPOs have boomed during the last year, with the likes of Snowflake, Airbnb and more than doubling on their debuts. Investor appetite for tech in private markets has been strong as well. Online payment processing company Stripe is reportedly raising funds at a valuation over $100 billion. UiPath closed a $750 million round, which valued the robotic process automation company at $35 billion ahead of an anticipated IPO this year.

Instacart has been preparing for a highly anticipated public debut, building out its C-suite and board over the past few months. Goldman Sachs will reportedly lead the IPO.

Instacart’s latest round was led by existing venture capital investors including Andreessen Horowitz, Sequoia and D1 Capital Partners, as well as existing institutional investors like Fidelity and T. Rowe Price.

Products You May Like

Articles You May Like

Jupiter Might Have Eaten Baby Planets To Amass Metals: Scientists 
One of the most prominent crypto hedge funds just defaulted on a $670 million loan
Life for those who kill emergency workers among criminal justice reforms coming into force
‘Stop Brexit Man’ anti-Tory protester could be prosecuted, police say
White House aide’s astonishing testimony may help January 6th committee resonate with the public

Leave a Reply

Your email address will not be published.