Airbnb secures another USD1 billion in funding
Airbnb Inc. has bagged another cash injection to see it through the travel industry’s worst crisis.
It sealed a $1 billion loan with a five-year repayment, The Wall St Journal reports.
A week ago it secured another $1 billion after a deal with investors Silver Lake and Sixth Street Partners.
The Covid-19 pandemic affecting all levels of the travel industry has led a big decline to Airbnb’s value, down from an internal valuation of $31 billion in 2017 to effectively $18 billion based on the terms of the latest loan.
Bookings in major markets like San Francisco and Seattle have declined 50% based on recent data and the company is spending big to offer full refunds to customers and compensating hosts as part of a new ‘Extenuating Circumstances’ policy.
"I deeply appreciate the confidence and trust that so many have shown in our company even as every sector in travel is going through the storm of the pandemic. All of the actions we have taken over the last several weeks assure that Airbnb will emerge from the storm of the pandemic even stronger," said Brian Chesky, Airbnb’s CEO and co-founder.
Airbnb had planned to go public later this year but that is looking increasingly unlikely in the current business climate.
TravelMole Editorial Team
Editor for TravelMole North America and Asia pacific regions. Ray is a highly experienced (15+ years) skilled journalist and editor predominantly in travel, hospitality and lifestyle working with a huge number of major market-leading brands. He has also cover in-depth news, interviews and features in general business, finance, tech and geopolitical issues for a select few major news outlets and publishers.
Vegas’s Billion-Dollar Secrets – What They Don’t Want Tourists to Know
Visit Florida’s New CEO Bryan Griffin Shares His Vision for State Tourism with Graham
Chicago’s Tourism Renaissance: Graham Interviews Kristin Reynolds of Choose Chicago
Graham Talks with Cassandra McCauley of MMGY NextFactor About the Latest Industry Research
Destination International’s Andreas Weissenborn: Research, Advocacy, and Destination Impact
Graham and Don Welsh Discuss the Success of Destinations International’s Annual Conference
Graham and CEO Andre Kiwitz on Ventura Travel’s UK Move and Recruitment for the Role
Brett Laiken and Graham Discuss Florida’s Tourism Momentum and Global Appeal
Graham and Elliot Ferguson on Positioning DC as a Cultural and Inclusive Global Destination
Graham Talks to Fraser Last About His England-to-Ireland Trek for Mental Health Awareness
Kathy Nelson Tells Graham About the Honour of Hosting the World Cup and Kansas City’s Future
Graham McKenzie on Sir Richie Richardson’s Dual Passion for Golf and His Homeland, Antigua
ADS PRO 
Phocuswright reveals the world's largest travel markets in volume in 2025
Higher departure tax and visa cost, e-arrival card: Japan unleashes the fiscal weapon against tourists
Cyclone in Sri Lanka had limited effect on tourism in contrary to media reports
Singapore to forbid entry to undesirable travelers with new no-boarding directive
Euromonitor International unveils world’s top 100 city destinations for 2025