Instacart has made moves to become a public company. The app-based grocery delivery service registered a statement with the U.S. Securities and Exchange Commission to move toward an Initial Public Offering (IPO).
The company currently holds a valuation of $24 billion, a 38% decrease from its valuation in Spring 2021. The two-year pandemic in which consumers relied on apps to make their daily errands, such as grocery shopping, significantly increased the value of the San Francisco-based tech company.
Instacart is going public even after a tumultuous few months for tech stocks in which a post-pandemic recession has caused inflation, supply chain issues, and changes in consumer behavior. However, Instacart plans to capitalize on its boosted valuation and scale the company to other areas.
Not only will the grocery delivery business continue to grow, but the organization will also implement logistical solutions via Carrot Warehouses, fulfillment centers similar to Amazon distribution centers. Instacart will also offer its clients software to create a more efficient experience.
The date of the IPO has not been revealed as of yet. But, the decision to go public has been 10 years in the making.
“An IPO is definitely on the horizon for us,” Former CEO Apoorva Mehta said in an interview with CNN. “As we think about building a long-term company, we think being a public company allows us to do that in the best possible way.”
