Expedia Group Inc. (NASDAQ: EXPE) announced Vice Chairman Peter Kern as chief executive officers of the company. Expedia also reported the cancellation of its dividends, distribute furloughs and reduce work week programs in efforts to save funds. Expedia plans to raise USD 3.2 Billion in capital to boost liquidity in additional steps to survive the coronavirus pandemic effects on the company.
Expedia share value has fallen over 40% this year. Demand for travel has dwindled due to the coronavirus and government recommendations for consumers to stay home. These are efforts to contain the virus and protect people. “We are unable to make any predictions as to when travel will rebound but we emphatically believe that it will, for … ‘if there’s life, there’s travel,’” Expedia Chairman Barry Diller said.
Expedia reported that Silver Lake invested in Airbnb, online travel is the focus. Silver Lake has made investments in the online travel sector, including other tech sectors such as driverless technology and social media. Investments have been made in Twitter, Dell and Waymo.
Expedia plans to raise USD 2 Billion in new debt as it had a cash balance and short-term investment balance of USD 3.8 Billion reported at the close of 2019.