It’s been a good year for Initial Public Offerings even as the world economy came to a standstill amid the COVID-19 disruptions. AirBnB Inc. (NASDAQ:ABNB) IPO affirms investors’ appetite towards risky investments, even as the pandemic continues to fuel uncertainty.
Booming IPO Market
Just days after the rental home services company went public, its shares have more than doubled in value, affirming the bullish momentum in the overall stock market. The stock has already powered through the $140 a share mark after going public at $68 a share.
With a market cap of more than $100 billion, Airbnb is now more valuable than industry stalwart Marriott International Inc. (NASDAQ: MAR) and Hyatt Hotels Corporation (NYSE: H) combined. The hefty valuation stems from the fact that people are willing to skip hotel stays in favor of private residential.
Airbnb’s successful IPO looks set to continue fuelling bullish momentum in the IPO market, which has been on an unimpressive run for the better part of the year. Since the start of the year, there has been more than 190 IPO’s rising close to $67 billion.
Amid the bullish momentum in the IPO market, it’s been an even better year for Special Purpose Acquisition companies. SPACs are companies with no commercial operations, established to raise capital from investors. SPACs have raised about $64 billion in 2020.
Infra.Market Capital Raise
Separately, Mumbai-based Infra.Market has raised $20 million in a Series B financing round. The financing round led by Evolvence India Fund, Sistema Asia Fund, and Foundamental is poised to strengthen the company’s balance sheet as it continues to improve the way construction and real estate companies procure materials and handle logistics.
Infra. Market is one of the most disruptive companies backed by technological innovation in the procurement and distribution of building material for the infrastructure and construction industry. It has made a name for itself on helping small businesses engaged in the manufacture of paints and cements that improve the quality of production that meet various compliances. The startup is also assisting small manufacturers to reach customers outside India