The Alphabet-backed online accommodation platform is reportedly speaking to investors about new funding despite the coronavirus effect.
Airbnb, the US-based short-term accommodation portal backed by internet and technology group Alphabet, is receiving significant interest from investors, CNBC has reported, citing two sources familiar with the matter.
The attention is coming despite the disruption to Airbnb’s business from the Covid-19 virus, but it has $3bn in cash on hand and $1bn in credit, one source told CNBC.
Nevertheless, the company is in ‘listen mode’ right now, and discussions concerning possible deal sizes and valuations. It said in September 2019 it was looking to float this year, but an initial public offering appears unlikely given the current falls across public markets.
Airbnb runs an online platform giving users access to some 7 million rooms or properties worldwide that they can book for short-term stays while travelling. It has also expanded into local activities and experiences.
The company’s last round took place in 2017 when it secured $1bn in a series F round co-led by Alphabet subsidiary CapitalG and growth equity firm TCV that valued it at $31bn and boosted its overall funding to $3.4bn.
The round followed a $1.5bn series E featuring investment and financial services group Fidelity, Horizon Ventures, Wellington Management, General Atlantic, Hillhouse Capital, Tiger Global Management, China Broadband Capital, Baillie Gifford, Temasek, Kleiner Perkins Caufield & Byers, GGV Capital and T. Rowe Price in 2015.
Earlier investors in Airbnb include DST Global, Founders Fund, TPG, Dragoneer Investment Group, Tuesday Capital, Andreessen Horowitz, Firstmark Capital, Sequoia Capital, General Catalyst, Y Combinator and SV Angel.