Couch surfing firm Airbnb gets a $10bn price tag
in New York
Thursday 20 March 2014
Airbnb, the online home-rental company, is in talks with private equity firms to raise at least $400m (£242m) – a level of funding that would value the business at roughly $10bn.
That’s a market value higher than some established hotel and lodging companies including Hyatt Hotels and Wyndham Worldwide.
TPG Capital Management is expected to lead the funding. TPG also has an investment in ride-sharing company Uber, another dominant player in the sector known as the “sharing economy”.
Airbnb has become one of Silicon Valley's most successful start-up companies in the five years since it was founded by graduates from Harvard and Rhode Island School of Design.
But its business model has attracted attention from authorities.
The company is involved in a legal fight with New York State Attorney General Eric Schneiderman, who has subpoenaed Airbnb for information to try to determine if any of its customers are violating New York state laws.
New York state does not allow renters to sublet their homes for less than 30 days if they are not present.
And the San Francisco city attorney's office has also queried the type of short-term rentals offered by Airbnb following claims that Airbnb rentals take away supply from the rented housing and drive up rents.
- 1 Keira Knightley topless: Usually conservative actress does own take on #Freethenipple campaign for Interview Magazine
- 2 Oil tanker with $100 million cargo goes missing off Texas coast
- 3 George Galloway left with severe bruising after attack in Notting Hill by man 'shouting about the Holocaust'
- 4 Lady al-Qa’ida: On the trail of Dr Aafia Siddiqui, the world’s most wanted prisoner
- 5 A teacher speaks out: 'I'm effectively being forced out of a career that I wanted to love'
YouTube video posted by Isis militants shows 'execution of 250 Syrian soldiers'
Keira Knightley topless: Usually conservative actress does own take on #Freethenipple campaign for Interview Magazine
Oil tanker with $100 million cargo goes missing off Texas coast
George Galloway left with severe bruising after attack in Notting Hill by man 'shouting about the Holocaust'
A teacher speaks out: 'I'm effectively being forced out of a career that I wanted to love'
Robin Williams Emmys tribute led by Billy Crystal criticised for including 'racist' joke about Muslim woman
The Rotherham child abuse scandal is a tale of apologists, misogyny and double standards
What do immigrants really think of Britain? Polish immigrant's Reddit post goes viral
Scottish independence TV debate: Pumped-up Alex Salmond bounces back in bruising second round against Alistair Darling
Do you realise just how foolish the UK looks?
With Douglas Carswell joining Ukip, my party has taken another giant step forward
- < Previous
- Next >
iJobs Money & Business
Highly Attractive Salary: Austen Lloyd: BRISTOL - This is a very unusual law c...
£35000 per annum: Harrington Starr: Network Engineer (CCNP, CCNA, Linux, OSPF,...
£50000 per annum: Harrington Starr: DevOps Engineer (Systems Administration, L...
£60000 - £70000 per annum: Harrington Starr: A prestigious leading professiona...