Walmart-Backed Ibotta Hunting For Billions Valuation

After the successful IPOs of Astera Labs and Reddit, Ibotta, a digital promotions company whose backers include Walmart, is seeking to raise as much as $472.5 million in the Initial Public Offering (IPO).   

The Denver-based company, which helps brands to promote through rewards and rebates, is offering 2.5 million shares for $76 to $84 each, according to a filing Monday with the US Securities and Exchange Commission.  

Established in 2012 by Bryan Leach, Ibotta is renowned for its innovative digital couponing and cashback rewards approach. The platform lets users earn cash rebates on everyday purchases by scanning their receipts. 

Walmart holds 2.7 million shares, whereas Koch Disruptive Technologies, an investment arm, is valued at 4.8 million. Ibotta is valued at $1 billion in the 2019 Series D funding round led by the investment arm of Koch Industries. 

In recent days, tech IPOs have picked up the space in the US market, and the decision to take Ibotta public comes amidst the flurry of tech IPOs. The companies like Astra Labs and Reddit are making highlights with their successful stock market debuts. 

Astera Labs is a semiconductor company specializing in connectivity solutions, whereas Reddit is a popular social media platform focusing on vast growth and expansion through advertising. 

The momentum generated by these two IPOs inspired Ibotta to enter the public market. Investors are eager to invest in promising tech ventures with the expectation of growth. 

As per the reports, Ibotta achieved profits last year while generating $320 million in revenue. The CEO of Ibotta, Bryan Leach, said – “Our capital-light business has allowed us to grow rapidly while increasing profitability over time and capturing the benefits of a multi-sided network.”

Ibotta has great brand awareness with almost 2,400 users, including Coca-Cola, Pepsi, General Mills, Kraft Heinz, and Campbell Soup. In 2021, the company entered into a partnership with Walmart, an American multinational retail corporation, to showcase digital promotions. 

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