Airbnb racks up hundreds of millions of dollars in losses, considers capital raise–WSJ
Airbnb Inc. has racked up hundreds of millions of dollars in losses this 12 months, because the coronavirus pandemic has wreaked havoc on the home-sharing firm’s enterprise, in response to a report in The Wall Street Journal. Citing individuals near the corporate, the corporate is contemplating elevating capital from new buyers, and should alter its plan go public through a direct itemizing, which would not contain elevating cash, the WSJ report mentioned. The firm is now contemplating utilizing an preliminary public providing to lift money, however the fairness market and its funds would want to stabilize and the virus disaster would first have to stabilize earlier than it could possibly go forward with an IPO, the WSJ report mentioned. The report added that Airbnb was unlikely to draw buyers at its 2017 valuation of $31 billion, when it final raised cash. The Renaissance IPO ETF
has misplaced 32.2% over the previous month, whereas the S&P 500
has dropped 29.1%.