Airbnb to improve IPO price: report
07 December, 2020
Home-sharing giant Airbnb, which is planned to go open public this week, will drastically raise its IPO cost, valuing the group at a lot more than $40 billion, the Wall structure Road Journal reported Sunday.
The group is expected to announce a price range of between $56 and $60 a share, up from $44 to $50, the paper said.
Airbnb didn't respond when contacted Sunday for comment.
The vacation local rental platform, which has managed to turn the tide after a few tricky months at the beginning of the coronavirus pandemic, said its initial public offering would include 51.9 million shares.
The group will go public Thursday and will be stated on the Nasdaq stock market platform beneath the symbol "ABNB."
At the increased cost, the champion of the gig market could reach a currency market valuation of $42 billion.
In a testament to Wall Street's appetite for IPOs for new unicorns, meal delivery provider DoorDash can make its debut in the marketplace 1 day before Airbnb.
The startup, propelled by business restrictions due to the virus, also raised its IPO unit cost range to between $90 and $95 per share on Friday, versus $75 to $85 previously.
The meal delivery company will now be aiming for a valuation of more than $30 billion.
Wall Street has placed new records in the past two weeks, with the Dow Jones and Nasdaq closing Friday at all-time highs.
Source: japantoday.com
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