Airbnb Tops $100 Billion on First Day of Buying and selling

SAN FRANCISCO – Over the past decade, Airbnb has expanded its operations in travel, directing regulators, disrupting local areas and creating a small number of temporary rental properties, all of which show an exciting connection.

On Thursday, Airbnb sold the money for the unexpected: that it is the winner of the epidemic.

Retail sales rose on their first trading day, rising 113 percent from the original price of $ 68 to close to $ 144.71. This resulted in the Airbnb market reaching $ 100.7 billion – which is the largest generation of “unicorn” companies and even more than Expedia Group and Marriott International combined.

Airbnb’s contribution raised $ 3.5 billion, making it the largest IPO this year.

One day earlier, DoorDash, the founder of the food industry, also defied gravity by raising $ 3.4 billion on its first business day, with its share growing 86% to $ 68 billion. All of these debuts followed some of the hottest IPOs making 2020 the most difficult year for public offerings in the US since 1999, according to Renaissance Capital, which follows IPOs.

The donation of hair dryers this week has sparked discussions in the new marketplace in the midst of the epidemic, as more than 947,000 workers filed new grievances against unemployment last week. With low interest rates and high interest rates on the economy, investors have pursued risky bets on a regular basis, driving worthless starting prices at rates that seem to be out of touch with reality. Robinhood, a stockbroker whose work has expanded the epidemic, has also cleared the market with millions of daytime traders eager to acquire a piece of technology.

James Gellert, chief executive of Rapid Ratings, a financial analyst, said the “nonsensical” estimates represent “great excitement and economic growth in the market.” He warned that perceptions could change quickly, making IPO vendors “busy in the coming months.”

Brian Chesky, Airbnb’s chief executive, said in an interview that he felt “interesting” as he promoted Airbnb to investors, but could not look into the company’s short-term operations.

“I can’t control the value of the stock, but I can control the situation,” said Chesky, 39, whose share in Airbnb is now $ 11.1 billion.

The excitement is a major turning point last year, when Uber IPO and IPO testing from WeWork’s office reduced the manufacturing industry, leading to warnings and layoffs in early 2020. the epidemic, with many starting to decline in anticipation of a slowdown.

But in the summer, technology companies grew exponentially and the retail market came back. The majority of IPO technologies provided a gusher of funding to Silicon Valley founders, vendors, founders and partners. Airbnb’s testing has now peaked at Uber and reached the Facebook rankings for its IPO in 2012. Launching e-commerce Wish, game developer Roblox and home-based buying company OpenDoor are also planning to go public this month.

Unlike other start-ups, which have sought to increase their cargo in the plague, Airbnb has been struggling for a year as people have banned their bookings. In the first nine months, Airbnb generated $ 2.5 billion, up from $ 3.7 billion last year. He lost $ 697 million during this time, more than twice last year.

In April, it raised emergency funding, shut down other side services and disrupted its IPO plans. In May, the company laid off a quarter of its nearly 7,600 employees.

In order to convince advertisers that they were in the same category as the “Covid Winners,” the opportunity to offer Airbnb gave a better vision. The pamphlet encouraged the distribution of visitors as well as rent in convenient magazine locations. It also said it had created a new way of visiting and promoting the economy, solitude and the spread of “good tourism.” And it dealt with the long-running issue of endurance and redemption.

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Apple. 11, 2020, 6:16 I have ET

A letter signed by the founders of Airbnb – Chesky, Joe Gebbia and Nathan Blecharzyk – included discussions that Chesky repeated on a number of questions thanking him for the apparent difficulty he faced. The company stressed that their rental housing could help travelers on the outskirts of cities and that their reservations began to increase within two months from the epidemic. The researchers also said the epidemic boosted Chesky’s confidence that one day people “would be everywhere.”

Such information is also useful for money changers. “People are interested in the name, not the money,” Gellert said. “This is a company that is going wrong today, depending on the financial situation.”

The epidemic was particularly severe at Airbnb because it mainly had rock cargo ships that made it a fertile Silicon Valley. The company was founded in 2008 as a way to allow people to rent a new room and rapidly expand up to seven million home networks around the world.

Airbnb has over the past decade of high-value startups that use gig, mobile phones and piles of products to promote old-fashioned industries, grow rapidly, quit going public and worry about future profits. Its rapid rise brought the idea of ​​restrooms – and guests – in the living rooms and living quarters. Its founders conveyed the message of faith, organization and common sense.

“When we remember the experience of Brian, Joe and Nate, it was their ability to talk about a world that is very different from what it is,” said Alfred Lin, a Sequoia Capital retailer and Airbnb board member.

Along the way, Airbnb has been experiencing stricter housing laws and regulations. The company has been battling security concerns at parties thrown at its rental premises, tourists who have damaged their premises, fraudulent lists, hidden cameras and caretakers who discriminate against guests.

These problems continued when the business returned to the plague. Parties are on the rise, and Airbnb’s neighbors have begun to complain. Crowds are angry with the company for neglecting their strategies to tackle the epidemic. Cities have begun to look for stricter laws.

Airbnb acknowledged the dangers by offering their services while emphasizing its potential for disaster recovery. In an interview, Chesky said Airbnb did not expect business or public transport to return anytime soon, but that the company was in a good position to accommodate other visitors.

He also mentioned how Airbnb can help people who want to do foreign work and stay with them for a while, as well as college students who cannot return home.

“If there is a moment in the moment when we can show that we are changing, it could be a plague,” Chesky said.

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