Passage of California Proposition #22 has provided operational security for delivery services and companies making use of the “gig economy”.

Following a $200 million infusion of capital, Instacart claims a valuation of $17 billion. It is possible that the proposed Instacart IPO was stimulated by a similar move by DoorDash.  Although this company has previously specialized in deliveries from restaurants, it may enter the grocery delivery space.

Instacart has a presence in 5,500 cities and has the potential to reach over 80 percent of households in the U.S.  The company has business relationships with 150 retailers operating 8,000 stores.  Instacart has commissioned Goldman Sachs to be the lead for the IPO anticipated during the first quarter of 2020.