See why Jeff Bezos will increase his fortune thanks to the arrival of Airbnb to Wall Street
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Well they say that “money calls money”, and Jeff Bezos knows it better than anyone. The founder and CEO of Amazon is right now the richest man in the world and his fortune will grow now that Airbnb is listed on Wall Street as of December 10.
The hosting platform said late Wednesday that it sold shares as part of its IPO at a unit price of $ 68 and raised about $ 3.5 billion. In this way, Airbnb reached a valuation of 35 billion dollars, despite the fact that this year it has been hard hit by the restrictions caused by the COVID-19 pandemic.
According to a report from the Reuters agency, the platform had planned to sell around 51 million shares at a price between 56 and 60 dollars per share. This makes Airbnb's stock offering the largest by a US company in 2020.
The shared accommodation company expects to raise $ 2.6 billion in its initial public offering, the company reported in a report for the Stock Exchange.
And Jeff Bezos, what does he have to do with this?
Well, the mogul was one of the first Airbnb investors 10 years ago, revealed a Business Insider article.
According to data from the PitchBook, the Amazon CEO invested in Airbnb twice: in the startup's series A and series B in 2010 and 2011, respectively.
To make these investments, Bezos used his personal venture capital firm, Bezos Expeditions, to make these investments. They both totaled $ 119 million in funding for Airbnb.
Maybe Airbnb's earnings won't make a big difference to the billionaire's equity, whose net worth is more than $ 186 billion. Most of his wealth comes from his shares in Amazon , of which he retains 11% after he founded it in 1994, according to Bloomberg. In addition, it has investments in Google, Uber and Twitter.
Airbnb will begin trading on Wall Street this December 10 under the brand name 'ABNB' , with a price of 44 to 50 dollars per share in its IPO. With this it seeks to raise about $ 2.5 billion in its exit, while existing investors seek to sell $ 96 million in shares.