Instacart calls on Goldman for its $ 30 billion IPO, sources say

Instacart has chosen Goldman Sachs Group to lead its initial public offering (IPO), which could come early next year and value the US grocery delivery app at around $ 30 billion, people close to it said Thursday. folder.

Instacart was valued at $ 17.7 billion last month, when it raised $ 200 million in a private fundraiser. If the IPO pushed Instacart’s valuation to nearly $ 30 billion, it would underline its rapid growth in business as more consumers turn to it for groceries during the COVID-19 pandemic .

The San Francisco-based company is ramping up its IPO plans after California voters last week backed a ballot proposal that upheld the status of app-based delivery drivers as independent contractors. This has been a boost for Instacart and Uber Technologies, which rely on people to work independently and not as employees.

The sources requested anonymity as preparations for the IPO are confidential. Instacart and Goldman Sachs declined to comment.

Instacart has expanded its delivery business to non-food products, serving customers of department stores such as Walmart, beauty retailer Sephora and convenience store 7-Eleven.

Launched in 2012 and led by its co-founder Apoorva Mehta, Instacart’s order volumes have grown 500% this year, as consumers shopped online during the coronavirus outbreak.

Instacart investors include venture capital firms Sequoia Capital, Andreessen Horowitz and D1 Capital Partners, according to data from PitchBook.

Several Silicon Valley unicorns are gearing up for their stock market debuts in the coming weeks, including home rental startup Airbnb, online retailer Wish, and food delivery service DoorDash.

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