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Airbnb Becomes Largest IPO of 2020 Following Successful Debt

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This Thursday is D-Day for Airbnb. The tourist rental platform has gone public on the New York stock market and has done so through the front door, doubling the price of its shares at the opening.

The shares were expected to start trading at around $ 68, a figure that has exploded in the early stages of the session. In fact, at this time on Thursday they are shooting up about 120% and close to 150 dollars.

The company has gone public at a time when the sector has been affected by travel reduction trends during the public health crisis. Its revenue was down nearly 19% last quarter compared to the same period last year.

Despite the delicate moment in which it occurs, its IPO is one of the most anticipated and in which investors have placed the most trust. In fact, Scott Galloway, professor of Marketing at the University of New York, has come to predict that it will be "one of the most successful of 2020".

Galloway's predictions were not badly misguided. Airbnb has raised $ 3.5 billion with its IPO and has managed to be crowned the largest IPO of 2020. An atypical year marked by a flood of IPOs.

This week the wave of IPOs that is expected for the next few months began. Yesterday, Wednesday, DoorDash had its premiere on the parquet And he did it in much the same way as Airbnb. His shares started on the floor with an 80% appreciation.

A situation much like Snowflake, which has raised $ 3.36 billion before over-allotments and private placements, according to PWC data.

It is not the first time that the San Francisco company seeks to make the jump to the stock market, since tried it last spring. However, restrictions on tourism due to the pandemic put a stop to its business and postponed its stock exchange plans. Since then, his business has seen a significant improvement.

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