2023-09-11 05:12:00
Instacart, as it announced at the end of August, is launching an attack on the New York Stock Exchange. The American grocery delivery platform is due to begin its presentation tour to potential investors this Monday with a view to its listing the following week on Nasdaq under the “CART” label.
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According to this information revealed by the Wall Street JournalInstacart, headed by the Franco-American Fidji Simo, should reveal to them on this occasion its price range, which might change depending on the reception given by its interlocutors.
A startup less attractive than in 2021
The expected revenue from this IPO appears “ a far cry from Instacart’s approximately $39 billion valuation in a 2021 fundraising round », when the company was preparing the ground for its listing, analyzes the Wall Street Journal. It was then postponed.
« Since then, valuations of fast-growing startups have fallen as interest rates have risen, making risky investments less attractive. ».
According to the daily, “ Instacart doesn’t plan to recoup much money for itself “, because the titles will come mainly from employees and early investors.
Instacart, created in 2012, offers, according to the press release which announced its desire to go public, “ enabling millions of people to access the supplies they need from the retailers they love” and, then, to have them delivered. It has more than 1,400 partners in North America – representing 85% of the American grocery market (excluding alcohol) – from local stores to large national distributors. The startup also highlighted its Instacart Health service, which provides nutrition tools to help consumers make healthy food choices.
An agreement with PepsiCo
In the document filed at the end of August, it indicates having generated over one year, as of June 30, 2023, a gross transaction value of $29.4 billion – the amount of purchases on the platform – and 263 million orders. Over the same period, gross turnover stood at 2.2 billion and net income reached 744 million dollars, including a tax benefit of 358 million.
Furthermore, it indicated that it had concluded an agreement with the soda group PepsiCo. The latter has undertaken to acquire 175 million convertible shares in an over-the-counter placement. Investors qualified as “ major » including Norges Bank Investment Management and affiliates of investment companies such as TCV, Sequoia Capital, Capital Partners or Valiant Capital Management « also expressed their interest » to independently acquire up to $400 million cumulatively upon listing.
The electronic chip designer Arm soon on the stock market
The New York Stock Exchange is also preparing to welcome the British electronic chip designer Arm on Thursday, a bet worth around $50 billion for its main shareholder, SoftBank Group, the biggest introduction in almost two years on a market without certainty.
The operation was initiated by this Japanese investment company, determined to list Arm, a benchmark in microprocessor design, whose models are integrated into 99% of smartphones worldwide. By selling around 10% of the capital of the technological flagship of Cambridge (England) on the market, SoftBank hopes to recover between 4.5 and 5.2 billion dollars, for a valuation of between 48 and 52 billion dollars.
This is significantly more than the 32 billion paid by the Japanese to take control of Arm in July 2016, but less than the 60 to 70 billion dollars that SoftBank was targeting just a few weeks ago, according to several media. “ Investors remain vigilant, but we are not at the same point as last year, where everything was unfavorable », recalls Avery Spear, first of all the rise in rates, dictated by central banks. The general consensus is that the monetary tightening cycle is regarding to end, which provides visibility to operators, who, according to the analyst, “ have digested ».
(With AFP)
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