Airbnb gets $1 billion debt facility from U.S. banks: source
Reuters
Published Jun 16, 2016 02:18PM ET
Airbnb gets $1 billion debt facility from U.S. banks: source
(Reuters) - Apartment-sharing startup Airbnb Inc has secured a $1 billion debt facility from some big U.S. banks to aid its new services and finance its expansion plans, a source close to the company said.
JPMorgan (NYSE:JPM), Citigroup Inc (NYSE:C), Morgan Stanley (NYSE:MS) and Bank of America Corp (NYSE:BAC) led the debt deal, the source said.
Airbnb, which expects to achieve profitability in 2016, raised over $100 million in a round of funding late last year.
Bloomberg reported the funding deal earlier on Wednesday.
Citigroup and Bank of America declined to comment.
Representatives at JPMorgan and Morgan Stanley were not immediately available for comment outside regular U.S. business hours.
Priceline, Expedia (NASDAQ:EXPE) and other travel companies have been facing increased pressure in their hotel bookings business from the rise of startups such as Airbnb.
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Written By: Reuters
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