Airbnb borrows $1B for expansion

JPMorgan, Citigroup, Bank of America and other banks participated

TRD MIAMI /
Jun.June 17, 2016 03:45 PM

From the New York websiteAirbnb, the $25.5 billion short-term rental colossus, just raised $1 billion in debt to fuel an expansion.

JPMorgan Chase, Citigroup, Bank of America, Morgan Stanley and other banks all participated in the deal.

Similar large debt deals have in the past been preludes to initial public offerings, as with Facebook, which borrowed about $8 billion from a group of banks in 2012, some of which participated in its subsequent IPO.

The money loan to Airbnb will go towards a global growth push as well as forays into non-room-rental business lines such as travel services, Bloomberg reported.

In New York, a bill seeking stringent regulations on the service sponsored by Assembly member Linda Rosenthal is moving through committee. If enacted, the bill would whole units listings on the site for terms of less than 30 days. Such rentals are currently illegal under the state’s Multiple Dwelling Law, but make up a sizable chunk of Airbnb listings in the city.

Airbnb is mobilizing to oppose the bill, with several members of one of the service’s “Home Sharing Clubs” demonstrating this week in front of Rosenthal’s Upper West Side office. [Bloomberg]Ariel Stulberg


Related Articles

arrow_forward_ios
Airbnb operators cash In On Super Bowl LIV

South Florida Airbnb hosts cash in on Super Bowl LIV

Harvey Hernandez (Credit: Airbnb and iStock)

Harvey Hernandez fights back against Airbnb

Airbnb hosts gear up for Super Bowl LIV

Airbnb hosts score 34K bookings for Super Bowl LIV — more than for Art Basel

Harvey Hernandez and Michael Patrizio

Newgard hires Terra exec as SVP of development

Daily Digest Miami

Compass sweetens agent stock program for 2020, affordable housing project in downtown Fort Lauderdale lands $27M loan: Daily digest

Miami Beach Mayor Dan Gelber and Natalie Nichols home at 1531 Stillwater Drive (Credit: Getty Images)

Miami-Dade judge strikes down Miami Beach short-term rental ban

Anne Gannon and West Palm Beach (Credit: iStock and Airbnb)

Airbnb sues Palm Beach County … again

Miami Beach Mayor Dan Gelber (Credit: Getty Images, iStock, and Airbnb)

Airbnb settles federal lawsuit against Miami Beach over business and resort tax disclosures

arrow_forward_ios
Loading...