Instacart files updated IPO filing, aims to raise $616 million

Instacart, one of the largest online grocery delivery firms in the United States, made a significant move on Monday by submitting an updated filing for its forthcoming initial public offering (IPO). The company, known for its grocery delivery services, disclosed its intention to secure up to $616 million in fresh capital, in addition to shares held by existing shareholders.

In its updated filing, Instacart revealed that it has set an offer price range of $26 to $28 per share for its IPO. The company plans to issue a total of 22 million shares, with 14.1 million being newly issued shares from the company itself and 7.9 million coming from selling stockholders. Should Instacart achieve the higher end of this pricing scale, it would result in proceeds of approximately $616 million.

According to CNBC, This move marks one of the significant public flotations of the year, with Instacart seeking to go head-to-head with both traditional retailers and tech giants in the fiercely competitive online grocery delivery market, including Amazon, DoorDash, GoPuff, and Grubhub.

The updated IPO filing by Instacart coincides with another major debut in the tech world, as British chip design firm Arm gears up for a highly anticipated IPO that could potentially value the company at a staggering $52 billion. Just last week, Arm announced that its New York IPO could generate up to $4.87 billion in fresh capital.

These forthcoming debuts are expected to test the IPO market, which experienced a year-long freeze on stock market listings due to concerns surrounding higher interest rates and rising inflation. Investors are eagerly anticipating the performance of these new public offerings, although the outcome will be closely tied to prevailing market conditions at the time of listing.

Arm Holdings plans to raise $4.87 billion in world’s largest IPO this year