On Thursday, the decade-old, privately-held startup informed its 3,000 corporate employees that it is revising its valuation down to $24 billion, citing market conditions.
An Instacart spokesperson said in a statement to CNN Business Friday that the company is “confident in the strength of our business, but we are not immune to the market turbulence that has impacted leading technology companies both public and private.”
“We can’t control the market, but we can control how we respond,” the spokesperson added, noting that staffers were informed about changes to equity in response to the new valuation. “Markets go up and down, but we are focused on Instacart’s long term opportunity to power the future of grocery with our partners.”
Instacart is widely speculated to be eying an IPO. In an interview with CNN Business earlier this week, Instacart CEO Fidji Simo declined to comment on timing for a public market debut, but said: “We do plan to be a public company at some point and I really wanted to make sure that, as we think about that, we really attract investors that understand the vision for the company.”
Simo left her post as a Facebook VP and head of the company’s flagship app to take over the helm of the startup last summer.