Airbnb has raised the target price range for its initial public offering (IPO) to between $56 and $60 per share, underscoring demand for new U.S. stocks.
The U.S. home rental company had previously set a price range for its IPO to sell shares at $44 and $50 each. Airbnb plans to communicate the upwardly revised price range to investors in a public filing on Monday.
At the upper end of the new range, Airbnb would sell $3.1 billion in stock and have a fully diluted valuation, which includes securities such as options and restricted stock units, of $41.8 billion.
This is well above the $18 billion Airbnb was worth in an April private fundraising round in the early weeks of the Covid-19 pandemic in the United States, and above the $31 billion in its last pre-Covid-19 fundraising in 2017.
Airbnb’s stock market debut, slated for Thursday (December 10) on the NASDAQ exchange, will be one of the largest and most anticipated U.S. IPOs of 2020, which has proven to be a strong year for new listings.
Record label Warner Music, data analytics firm Palantir Technologies and data warehouse company Snowflake have each gone public in the past few months. Food delivery start-up DoorDash is also planning an IPO in the coming weeks.