Airbnb wants to raise up to $ 2.6 billion from investors with an IPO. And the vacation rental rental site hasn’t made a profit for a single year. This is evident from the prospectus for investors that the company with the American stock exchange watchdog SEC has submitted.
A share of Airbnb should cost between $ 44 and $ 50. The company will sell less than 8 percent of all shares and hopes to earn up to $ 2.6 billion. The value of the entire company would thus be between $ 31 and $ 35 billion.
Loss upon loss
Airbnb has been around since 2008 and has been making losses every year since then, the company says. Due to the planned IPO, Airbnb must now provide comprehensive insight into its figures for the first time. Last year the loss was $ 674 million and this year through September there was a loss of nearly $ 700 million.
Airbnb acknowledges that corona has deteriorated business results and will continue for some time to come. In total, the company now has about $ 2 billion in debt.
In 2019 Airbnb announced its intention to become a listed company. In August, those plans were continued, despite the corona crisis. Due to corona, people travel much less and therefore fewer Airbnb’s are booked. The company says that people now often book an Airbnb close to home, in their own country.
Stricter rules
Amsterdam gets a special mention in the document, because it is one of the 22 European cities that want the EU to impose stricter rules for holiday rentals. Airbnb warns that such new rules may reduce the number of homes offered through the site in the future.
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