Airbnb Closes the Recent $1b Round – At $31 Billion Valuation

Airbnb has seen steady progress during last year when it filed the SEC forms and raised $555.5 million. The company has now filed a new form – D which closed off its Series F with an additional figure of $447.8. This brings the total at more than $1 billion, which is $1,003,312,065 to be precise. If the reports are to be believed, this company is now $31 billion in value. When the San Francisco company closed its first tranche of the Series F round; it said that its valuation was $30 billion. This $31 billion comes as $1 billion higher valuation, which is, in fact, noteworthy.

Airbnb and its Progress

Airbnb Toronto office

The online hospitality service company gained profits in the latter half of 2016. Airbnb assumes that it will also remain profitable in 2017; on an EBITDA basis, according to sources. The San Francisco company has been called as an outsized tech start-up which would go public in this year; although the latest round makes it more of a private company. Reports also suggest that Airbnb has no major plans to go public anytime soon.

Furthermore, the names of investors are not official yet. Notably, the names of Alfred Lin of Sequoia; and Jeff Jordan of Andreessen Horowitz are there in the SEC form filed recently. According to sources, it was reported that TCV and Google Capital were leading when the first tranche closed.

This multi-national company started with a unique concept; a marketplace for those people who have spare beds to connect with the travelers who need a place to stay, but don’t want to or cannot afford a luxurious hotel. This service has now expanded enormously, having a massive global network. Now, not only does it offer spare beds, but also offers whole homes covering all the budget categories.

Airbnb and its Expansion

Airbnb CEO

Airbnb has also stepped forward to provide a new line of experiences. Launched in November 2016; this category takes the company a step higher from only to accommodation to events, which lets its users experience the city like a local. For an end to end experience; it also stepped into the segment where it allows its users to also book their travel through its platform.

Airbnb significantly hopes to widen its commercial reach, for which it has made some key acquisitions also. It includes the group focused Luxury Retreats and Tilt funding platform; that will help in bringing more properties along with clients, in the high-end market.

Legal Pressures on Airbnb

While on one side Airbnb is expanding more and more and getting bigger; on the other side, it is also facing pressures from the legal perspectives. Some city authorities around the globe are investigating if Airbnb has been violating the residency and hotel regulations. To add to this, some other organizations are getting in debates with the company that it is turning the private tenants into full-time armchair hoteliers.

Recently, it was reported that Airbnb was being sued for aiding tenants to break their leases; by renting their homes on its platform; by Aimco, a giant apartment management company.

Nevertheless, this latest valuation hints that Airbnb has expanded widely and it plans to keep on doing so.

Avatar
Christy Gren
Christy Gren is an Industry Specialist Reporter at Industry Leaders Magazine; she enjoys writing about Unicorns, Silicon Valley, Startups, Business Leaders and Innovators. Her articles provide an insight about the Power Players in the field of Technology, Auto, Manufacturing, and F&B.

Recent Posts

Amazon to host pop-up vaccination clinic in Seattle HQ

Amazon to host pop-up vaccination clinic in Seattle HQ

Amazon Inc. plans to set up a pop-up clinic at its Seattle headquarters on January 24 to help vaccinate 2,000 eligible members of the publi...
1 day ago
Morgan Stanley raises CEO James Gorman’s pay to $33 million

Morgan Stanley raises CEO James Gorman’s pay to $33 million

James Gorman’s salary ($33 million) is comprised of four parts: a base salary of $1.5 million; a deferred equity award of $7.875 million; ...
2 days ago
IBM Q4 Profit Up, Banks on Cloud and AI For 2021

IBM Q4 Profit Up, Banks on Cloud and AI For 2021

IBM’s revenue is expected to rise in 2021 and generate adjusted free cash flow of $11 billion to $12 billion for the year. ...
2 days ago
‘World first’: Google threatens to disable search in Australia over proposed new law

‘World first’: Google threatens to disable search in Australia over proposed new law

Google has been at odds with the Australian Government since the latter proposed the ‘world first’ law to make tech companies pay publis...
2 days ago
FCC rejects petition to stay Ligado Network’s 5G rollout

FCC rejects petition to stay Ligado Network’s 5G rollout

The Federal Communications Commission rejected by a vote of 3-2 on Tuesday to freeze the rollout of Ligado Networks’ nationwide mobile bro...
3 days ago
Oil prices rise on hopes of big stimulus money

Oil prices rise on hopes of big stimulus money

The crude oil prices showed an upswing with Brentwood going up to $56.08 a barrel and the US West Texas Intermediate crude oil selling at $5...
3 days ago