Zeus Living, a corporate-housing startup backed by Airbnb, has seen its valuation plummet in a matter of months.
The company recently raised roughly $15 million at a $110 million valuation from existing investors including CEAS Investments I and Soros Fund Management, according to Bloomberg. That’s down from a $205 million valuation in December.
Zeus, which helps landlords furnish and market homes for a corporate crowd, reportedly did not have enough cash on hand to meet certain requirements tied to a loan from Soros, necessitating the funding round.
Zeus is far from the only startup to see its valuation plunge as the travel and hospitality industry tanks. Its backer Airbnb raised funds from investors last month at a valuation of $18 billion, a significant drop from its peak of $31 billion.
Similar to hotels looking for other revenue streams, Zeus has rented some of its homes to health care workers and people leaving densely populated cities. It laid off about 80 workers in March. [Bloomberg] – Eddie Small