Airbnb to acquire last minute hotel booking service HotelTonight

Airbnb today announced it has signed an agreement to acquire last-minute hotel booking app HotelTonight for an undisclosed sum. The acquisition comes just a little over a year after Airbnb first launched Airbnb Plus, a subsection of its service that includes boutique hotels and traditional bed and breakfasts.

Airbnb had been working over the years to expand its home rental marketplace into a travel platform, which now includes concierge services and optional tours for select bookings. Since launching Airbnb Plus and adding more hotel availabilities, the company said it tripled hotel bookings on its platform between 2017 and 2018.

Working with hotels should also make it easier for Airbnb to enter certain markets that have stricter housing rules around who is allowed to rent their property for short-term stays. According to Recode, HotelTonight was last valued at $450 million. Airbnb, on the other hand, is valued at $31 billion and is expected to file for an initial public offering some time this year.

According to a press release, the HotelTonight app will continue to operate as usual, but the supplies will likely also be made available through Airbnb’s Plus portal.