Airbnb Grabs $1 Billion Investment From Silver Lake and Sixth Street Partners – Skift

Faced with a plummeting of its business, outrage from many hosts, and an ever-approaching deadline to go public in 2020, Airbnb announced it secured a $1 billion investment in debt and equity securities from Silver Lake Partners and Sixth Street Partners.

The investment brings Airbnb’s total funding to around $5.4 billion. In a recent meeting with employees before Monday’s investment announcement, co-founder and CEO Brian Chesky informed them that the company had lowered its valuation to $26 billion from the previous $31 billion.

In its announcement, Airbnb didn’t disclose its new valuation, or how the funding infusion impacts its desire to go public in 2020, which was geared to let employees  begin to cash out their soon-to-expire stock options.

With Airbnb under duress —like much of the travel and hospitality industry because of the coronavirus pandemic — said the funding will go toward investing in its hosts, including for stays and experiences, and will support other stakeholders.

Silver Lake and Sixth Street Partners, as part of their $1 billion investment, will allocate $5 million toward the newly established Superhost Relief Fund, bringing that fund’s total to $15 million. The fund is designed to help superhosts pay their mortgages and otherwise stay in business.

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