Airbnb takes IPO crown for 2020
December 10, 2020
In 2020's largest deal yet, Airbnb has finally pulled off its long-awaited IPO, raising $3.5 billion and capping a drawn-out exit for its venture and private equity backers. The Wall Street Journal and Bloomberg report that its shares were sold at $68 apiece, giving the pioneering home-rental giant a fully diluted value of $47 billion.
Airbnb's final price for the 51.6-million-share offering was revised upward twice from an initial estimated range of $44 to $50.
The company's haul of $3.5 billion marks the largest of the year, according to PitchBook data, beating out DoorDash's $3.37 billion offering and deals from Snowflake and Palantir. It also sets up a massive payday for Airbnb's top shareholders, Sequoia, with a 16.5% pre-IPO stake, and Founders Fund at 5.4%.
Airbnb has had a topsy-turvy year, after securing $2 billion in funding at a $18 billion valuation in April—down from $31 billion in 2017. But under CEO and co-founder Brian Chesky, the company proved resilient during the pandemic, pulling off a rebound in bookings over the summer that led to a third-quarter profit.
Related read: Airbnb shows pandemic resilience in IPO filing, but expects continued virus impact
Airbnb's final price for the 51.6-million-share offering was revised upward twice from an initial estimated range of $44 to $50.
The company's haul of $3.5 billion marks the largest of the year, according to PitchBook data, beating out DoorDash's $3.37 billion offering and deals from Snowflake and Palantir. It also sets up a massive payday for Airbnb's top shareholders, Sequoia, with a 16.5% pre-IPO stake, and Founders Fund at 5.4%.
Airbnb has had a topsy-turvy year, after securing $2 billion in funding at a $18 billion valuation in April—down from $31 billion in 2017. But under CEO and co-founder Brian Chesky, the company proved resilient during the pandemic, pulling off a rebound in bookings over the summer that led to a third-quarter profit.
Related read: Airbnb shows pandemic resilience in IPO filing, but expects continued virus impact