US grocery delivery giant Instacart files for IPO

US online grocery delivery platform Instacart has announced it has filed a draft registration statement with the US Securities and Exchange Commission (SEC), which if approved, allows it to list its shares.

Instacart was valued at $39 billion in March last year after raising $265 million, making it one of the most valuable venture-backed companies in the US.

Fast forward 12 months and it was slashing its valuation by approximately 40% to around $24 billion, testament to just how much tech stocks have struggled of late.

The Nasdaq stock exchange has also fallen 30% from its high of last November.

Instacart enjoyed somewhat of a renaissance after enduring a tough time pre-pandemic. However lockdown and the subsequent grocery delivery boom meant that the company received a major boost.

Since then, rising inflation and projected higher interest rates sent risky assets into a nosedive which started in November.

However, the grocery delivery giant said its business outlook remained strong and has tried to expand beyond its core marketplace by developing a software suite to sell to other supermarkets.

It has also launched its own fulfilment service, Carrot Warehouses, which has been designed to help grocers offer 15-minute delivery.

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