31–40 of 174 posts
Why all the recent IPOs?
Late stage funding options are drying up big time. See Uber, Lyft, WeWork, and Softbank. These companies are still burning cash at high rates, so going to the public markets is the only option to raise that much capital.
Why all the recent IPOs?
As Airbnb is getting banned across cities in Europe and locals are beginning to hate on it + staled growth it's about the time to hand the equity over to public investors and cash out. I'm not very bullish on Airbnb, I used to practically live in Airbnb for over 3 years, but for the last 2 years I haven't even logged in and been only using booking.com. I remember years back in London an Airbnb host that wasn't even t…
AirBnB is doing fine. They've posted healthy profits for the past few years, which is more than can be said of nearly every other tech/startup company that has announced an IPO recently (Uber, Lyft, Pelaton, WeWork, Cloudflare, Slack, Postmates, and Pinterest are all unprofitable).
As Airbnb is getting banned across cities in Europe and locals are beginning to hate on it + staled growth it's about the time to hand the equity over to public investors and cash out. I'm not very bullish on Airbnb, I used to practically live in Airbnb for over 3 years, but for the last 2 years I haven't even logged in and been only using booking.com. I remember years back in London an Airbnb host that wasn't even t…
> I'm probably missing something, but I think the company is going down and they're pulling an exit scam. AirBnB is doing fine. They've posted healthy profits for the past few years, which is more than can be said of nearly every other tech/startup company that has announced an IPO recently (Uber, Lyft, Pelaton, WeWork, Cloudflare, Slack, Postmates, and Pinterest are all unprofitable).
They raised billions and now they make more money every quarter so there is no reason to raise more money unless there are specific larger acquisitions or expansions that can't be self-funded.
They want to get ahead of the negative news and avoid We work debacle. Unfortunately, 2020 is not a great year for IPOs with the impending recession.
Why all the recent IPOs?
Nobody said this was an IPO. Most likely a direct listing since Airbnb doesn't need to raise capital.
1) Neither SPOT or WORK has done great, especially WORK
2) IPO allows you to choose your investors. This gives you the opportunity to choose major institutional investors that are in for the long term which will help reduce stock volatility.
3) Even if you don't need money, raising billions can open up a lot of opportunities for the business and give you a warchest to derisk potential market downturns.
Seems like a good time to cash out. I don't know where the growth is going to come from at this point. Major cities have recognized the negative externalities that Airbnb has on rental vacancy and land values, and are starting to add on regulations of various strength. That will drag on growth. The company gained its valuation from days past when people were buying new condos exclusively to rent 100% of the time on A…
Is that an externality of AirBnB or poor city planning? Cities are eager to build offices and advertise to attract tourists, but convince themselves they don't need more residential construction. Fixing the underlying cause will work better than banning the symptom.
What exactly is the roadmap for Airbnb? They stays feature seems to have maxed out in listings and declining now that random people are trying to manage 15+ listings in many cities. I often see the same listings on Booking for cheaper too. All the other features I don't even look at because I'm not interested in an 'adventure' given by some random guy with no professional experience. Honestly surprised they haven't e…
Tangential to the topic, but does AirBnB operate under any regulations? When I was in Seattle, my apartment building ended up adding an explicit clause in the lease saying you couldn’t rent a property and turn it around into an AirBnB or any kind of room share for temporary or short term stays. The legal framework wasn’t there (this is 2016 I’m describing), and so I wonder why go public now. Get a more solid footing…
A lot of cities explicitly ban short term AirBnBs of less than 30 days, unless you as the owner are staying there as well. HOAs can be more strict on top of whatever existing city regulations exist.