SUMMARY
- Instacart revises IPO share price to $28-$30, targeting $10 billion valuation.
- 22 million shares to be offered, potentially raising $660 million.
- PepsiCo commits to $175 million private placement; ticker symbol: "CART."
Instacart, the grocery delivery platform, has revised its initial share price range in a recent regulatory filing, setting it at a range between $28 and $30 per share. This strategic move is part of their efforts to attain a valuation of up to $10 billion. When Instacart makes its debut on the Nasdaq, it plans to offer a total of 22 million shares, inclusive of those from existing shareholders. This ambitious endeavor could potentially yield up to $660 million in capital. Furthermore, in a concurrent private placement, PepsiCo has committed to buying $175 million worth of shares, as indicated in the company's securities filing.
Notably, Instacart will be trading under the ticker symbol "CART." However, it's important to acknowledge that despite the upward revision of its price range, which follows the successful debut of Arm Holdings, Instacart's valuation has experienced a substantial decline since 2021. Back then, it managed to secure $265 million in funding at a valuation of $39 billion.
Recent financial performance paints a promising picture for the company. According to the same securities filing, Instacart has turned a profit in recent months, reporting a net income of $242 million for the first six months of 2023. This marks a significant improvement compared to a net loss of $74 million during the same period in the previous year.
September is evidently becoming a bustling month for initial public offerings, with not only Instacart but also Arm Holdings making headlines. Additionally, keep an eye out for the upcoming listings of marketing automation firm Klaviyo and biotechnology company Neumora, as they are poised to enter the public markets soon.
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