Deals
Airbnb, DoorDash Rallies Stoke Debate on Pricing IPOs
- Airbnb rose 115% in record opening jump for a big U.S. listing
- At opening price company could have raised $4 billion more
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First it was DoorDash Inc. And now it’s Airbnb Inc. In a 24-hour period, the two startups went public and their valuations skyrocketed, a sign that both companies could have raised a lot more money than they did.
Airbnb opened 115% above its initial public offering price, the biggest debut rally on record for a large U.S. listing. Had the shares priced closer to where they started trading -- at $146 instead of $68 apiece -- Airbnb could have raised $4 billion more for the company and early investors.