1. Airbnb’s IPO may call in sick
007 is not the only one (see below) laid low by coronavirus. Airbnb’s much-anticipated IPO, previously announced for 2020, may be delayed until 2021, Bloomberg reports.
Like many in the travel and tourism sector, Airbnb’s been hit hard by the sudden contraction brought on by travel bans and conference cancellations. Bookings in China have fallen by 80% on a year ago according to one source Bloomberg spoke to, and the company could end up being unprofitable this year and investors have been pretty savage of tech companies that fail to deliver over the last 12 months.
Airbnb has reportedly posted a $US322 million in the first nine months of 2019 loss on an EBITDA basis, after two years in the black – and that was before COVID-19 rocked up.
New York University Professor Arun Sundararajan told Bloomberg that if the Olympics are canceled, Airbnb should delay its IPO.