Airbnb to acquire last-minute booking site HotelTonight
The acquisition values HotelTonight around $465 million and that could be Airbnb’s biggest acquisition.
Airbnb is ramping up its strategy around hotel accommodation by striking an agreement to acquire HotelTonight. Terms of the deal have not been disclosed. HotelTonight had raised nearly $130 million in investment funding since its creation in late-2010.
According to a New York Times report, the acquisition values HotelTonight in the vicinity of its last private valuation, $465 million, said two people who were briefed on the deal and were not authorized to disclose the price. That would make it Airbnb’s biggest acquisition.
The purchase, according to Airbnb, gives it the chance to "accelerate our work to build an end-to-end travel platform that serves everyone."
Most of the rhetoric in the announcement concerns HotelTonight's prowess with its relationship with boutique hotels and how the deal will make it easier for people who use Airbnb to find accommodation at short notice.
HotelTonight currently also works with many chain hotels in its network of cities around the world. It has a 100-day booking window.
Airbnb says the HotelTonight app and website will continue to operate, with CEO and co-founder Sam Shank reporting to president of homes at Airbnb, Greg Greeley, with a brief to run its boutique hotel category.
Read Original Article