A group led by private-equity firm TPG has finalized an
agreement to invest $450 million in Airbnb Inc., valuing the
home-rental site at $10 billion, according to people familiar with
the situation.
The funding round makes Airbnb one of the world's most valuable
startups, matching investors' price tags for file-storage company
Dropbox Inc. and Chinese smartphone maker Xiaomi Inc. Airbnb, which
lets people rent their homes to travelers, is also now valued
higher than large publicly traded hotel chains Wyndham Worldwide
Corp. and Hyatt Hotels Corp.
The investor group also includes investment firm Dragoneer
Investment Group, mutual fund T. Rowe Price Group Inc. and
venture-capital firm Sequoia Capital. TPG Growth, the buyout firm's
middle-market and growth-equity arm, and Dragoneer are expected to
invest roughly $75 million apiece in Airbnb as part of the deal,
the people said. Sequoia, an earlier Airbnb investor, is expected
to invest about $85 million, they said.
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at douglas.macmillan@wsj.com and Evelyn M. Rusli at
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