Latest funding values Airbnb above hotel giant Marriott | zdnet.com
Online accommodation site Airbnb will announce a $25.5 billion valuation following its latest cash injection of $1.5 billion from investors
Online accommodation startup Airbnb may soon be worth $25.5 billion, following the raising of $1.5 billion in its latest funding venture, a source close to the deal told AFP. A group of American and Chinese investment funds were involved in the discussions, which are aimed at expanding Airbnb's offerings in Asia, according to the source, who asked not to be named.
Online accommodation startup Airbnb may soon be worth $25.5 billion, following the raising of $1.5 billion in its latest funding venture, a source close to the deal told AFP.
A group of American and Chinese investment funds were involved in the discussions, which are aimed at expanding Airbnb's offerings in Asia, according to the source, who asked not to be named.
The funds are General Atlantic, Tiger Global Management, Kleiner Perkins Caufield & Byers, GGV Capital, Horizon Ventures, Hillhouse Capital Group, and China Broadband.
The deal could be announced as soon as next week, the source added.
At $25.5 billion, Airbnb would be worth more than hotel giants Marriott ($20.90 billion), Starwood ($14 billion), and Wyndham ($10.01 billion). Hilton Worldwide is valued at $27.7 billion.
Airbnb does not own a single hotel, hostel, or even a bed; rather, it makes its money by taking 3 percent of the transaction from the property owner, and 6 to 12 percent of the transaction from the traveller upon the two parties exchanging their services.
With a user base of more than 35 million travellers, Airbnb has said that its sales have surged from $250 million to $850 million in the space of two years, although no plans for an IPO have been announced by the company.