According to the Wall Street Journal, Airbnb could file in complete confidence to go public as early as this month. The very same report states that Airbnb could follow that filing with an IPO before year’s end. Morgan Stanley and Goldman are helping the previous startup with its IPO procedure, the Journal writes.
The news that Airbnb’s IPO could be back on caps a troubled year for the home-sharing unicorn, which guaranteed in 2019 to go public in 2020. The company was extensively tipped to be thinking about a direct listing before COVID-19 arrived, crashing the international travel market, and with it, Airbnb’s financial health.
Airbnb decreased to comment on its IPO strategies.
As tourists stayed at home, the company was required to sharply cut staff, and handle billions in capital at rates that compared to its late 2019-momentum looked rather costly.
But given that those blows, Airbnb has began to make noise about positive progress concerning its platform use, and, implicitly, its monetary performance.
In June Airbnb said that in between” Might 17 to June 6, 2020, there were more nights reserved for travel to Airbnb listings in the United States. than during the same period in 2019″ which “internationally, over the most recent weekend (June 5-7), we saw year-over-year development in gross reservation worth” for “the very first time considering that February.”
And in July, the company that said that its users had actually”reserved more than 1 million nights’ worth of future stays at Airbnb listings” internationally in a single day, the very first time considering that March 3rd that had actually occurred.
Specifically how far Airbnb has actually financially clawed its method back is unclear. However the business’s cost basis in the wake of its layoffs might reduce the income base it needs to recuperate to reach something comparable to success, a standard IPO benchmark though one that has actually lost luster in the last few years.
And with regional travel removing– slowly-improving airline occupancy rates are, for that reason, not a sign of Airbnb’s efficiency or health– the business might have retooled its business in the wake of COVID to something that can still set up attractive earnings at strong margins.
Needless to state I am hype to read the Airbnb S-1, so the earlier it drops the happier I’ll be. Getting an extensive look at what took place to the unicorn throughout COVID-19 is going to be remarkable.
Airbnb signs up with DoorDash, Coinbase, Palantir, and others on our IPO shortlist. More as we have it. Article curated by RJ Shara from Source. RJ Shara is a Bay Area Radio Host (Radio Jockey) who talks about the startup ecosystem – entrepreneurs, investments, policies and more on her show The Silicon Dreams. The show streams on Radio Zindagi 1170AM on Mondays from 3.30 PM to 4 PM.