Instacart founder Apoorva Mehta exits with $1.1 billion fortune after IPO
Apoorva Mehta is checking out with a $1.1 billion fortune following the grocery-delivery company’s initial public offering.
Mehta, 37, who stepped down as chief executive officer in August 2021, relinquished his board position as executive chairman as part of the IPO proceedings to current CEO Fidji Simo, a former Meta Platforms Inc. executive. The transition marks the end of Mehta’s 11-year tenure with the company he co-founded in 2012.
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Offering CollegeCourseWebsiteIndian School of BusinessISB Product ManagementVisitIndian School of BusinessISB Digital Marketing and AnalyticsVisitIndian School of BusinessISB Digital TransformationVisitIndian School of BusinessISB Applied Business AnalyticsVisitIn the last decade, the startup has transformed from a Webvan clone to the largest grocery-delivery business in the US. Revenue grew 31% to about $1.5 billion in the six months ended June 30, powered in part by a pivot to a higher-margin advertising business.
At its peak in March 2021, following a pandemic boost, the company was valued by venture capitalists at $39 billion. Mehta’s 10% stake had already made him a billionaire with a $3.5 billion fortune at its highest point. But with viral infections dwindling and inflation accelerating, the San Francisco-based company struggled and cut its internal valuation three times last year to about $13 billion in October.
Instacart, which is incorporated as Maplebear Inc., priced its IPO Monday at $30 a share, giving it a $9.9 billion valuation. The shares jumped more than 40% when they started trading Tuesday in New York before closing at $33.70.
“What matters is how Instacart performs over the next few years, rather than what it
