US company Airbnb raised 1 billion from private equity firms Silver Lake and Sixth Street Partners to cushion the impacts of the current coronavirus pandemic on the company’s activities. The details of this transaction were not disclosed but the amount is constituted of an equity contribution and loans.
The investment will make it possible to compensate certain members of Airbnb’s platform who have had their reservations canceled due to the pandemic. Airbnb undertakes, according to its internal policy, to pay at least 25% of the amount between 14 March and 31 May 2020 and plans to spend $250 million for this strategy.
Although its main markets are in Asia and the West, Airbnb has many partners in Africa, where the volume of its business was in constant evolution before the covid-19 pandemic. Main African partners are Cape Town in South Africa, Morocco, and Nigeria which concentrate a considerable number of business and leisure tourists in search of decent and affordable accommodation.
The company had planned to list on the New York Stock Exchange this year but its managers are now rejecting the idea as it will be difficult to convince the market in the current conditions. For shareholders, it will be difficult to receive a fair valuation.
In the first nine months of 2019, the company recorded a turnover of $4.6 billion, but posted a loss of $322 million, according to information reported by The Wall Street Journal.
Idriss Linge
• Global coffee consumption projected to hit a record 169.4 million 60-kg bags in 2025/2026, up from...
In a West African financial landscape marked by tighter regulation of the fintech sector, digital fi...
• BOAD releases CFA10 billion ($17.8 million) to support Boungou and Wahgnion gold mines.• Burkina F...
Transport and food prices have been climbing steadily across Africa in recent years. In Côte d’Ivoir...
• Burkina Faso-based financial group, Vista Group Holding, has acquired a majority stake in Société ...
• Algeria grants commercial 5G licenses to top three telecom operators: Mobilis, Djezzy, and Ooredoo • License award comes on stream as part of the...
• The International Monetary Fund (IMF) has authorized a $262.3 million disbursement for Ethiopia, taking total payments under Extended Credit...
• ECOWAS Bank funds 47.7-km stretch of strategic 700-km road project• Lagos-Calabar highway seen boosting regional trade and investment• Part of broader...
• IFAD initiates a program worth $358.26 million to bolster dairy sector in Kenya, Rwanda, Tanzania, and Uganda • The program, called DaIMA, aims...
The Gerewol tradition is a fascinating ritual celebrated by the Bororo Fulani, a nomadic community primarily located in Chad and Niger. This annual...
In northern Ethiopia, in the Tigray region, lies Axum (also spelled Aksum), an ancient city that once stood at the heart of one of Africa’s most powerful...