On-demand grocery company Instacart is in advanced discussions to raise a $400 million round led by existing investor Sequoia at a $3 billion valuation, according to Axios. The new financing would be a bigger pool than all the company’s previous rounds put together (about $275 million) and represent a serious bump up from a $2 billion valuation established last March.
Bay Area-based Instacart, which graduated from Y Combinator in 2012, has a list of investors that includes Andreessen Horowitz, Canaan Partners and Initialized Capital. Whole Foods is another major backer; the two companies agreed last year to expand their partnership into several new markets, offer same-day delivery service and allow Instacart exclusive rights to delivery of the grocery chain’s perishables business. Instacart also delivers groceries from Safeway, Costco, Ralph’s and several other markets.