After the rain comes the good weather. Airbnb is convinced of this. The reservation and rental platform for private accommodation has just resumed its IPO, despite an exceptionally critical start to the year due to the coronavirus epidemic.
The American company seems ready to resume discussions, while last May announced a turnover for 2020 “less than half” of that of 2019. At that time, 25% of the staff had been dismissed, that is, 2,000 employees. Its value fell dramatically, from 35 to 18 billion dollars according to CNBC .
A confidential procedure, waiting to go up
On Wednesday, August 19, Airbnb officially filed its IPO application with the SEC (the U.S. federal agency that regulates and supervises the U.S. financial markets). To protect itself and delay the time when the company will have to share its financial information publicly, Airbnb has opted for a so-called “confidential” procedure.
The Airbnb wants to be confident: “our data shows that the sector is starting to bounce”. But thanks to this more discreet procedure, available from 2017 for large companies, the catastrophic figures of the second quarter will not have to be presented. In preparation for the program, the company can target the publication of its third quarter results in a month and a half to set the stage and set a price at its initial price. Not even afraid The short local stays have given Airbnb a new life (while waiting for the platform to reach another customer base), but it is certain that the company is still going through what it considers to have been “the most painful crisis of [its] life” . Airbnb’s business will not recover in the next six months without the health crisis finding a way out. Some also mention the increasingly strict legislative framework that the platform is facing. Not even fear on the side of the Airbnb. Your IPO will be effective before the end of the year. However, some indicators are still green since the pandemic: compared to a hotel with several rooms and therefore several people, isn’t it better to choose the peace of mind of an Airbnb accommodation in times of epidemic? The company wants to believe this, dreaming of opening part of its capital to Wall Street. <I don’t know.