TL;DR:
- TravelPerk secures a $104 million investment led by SoftBank Vision Fund 2.
- The funding will enhance TravelPerk’s automation and AI capabilities.
- In 2023, TravelPerk reported impressive year-over-year growth, with revenue up by over 70% and gross profit by over 90%.
- Existing investors, including Kinnevik and Felix Capital, participated significantly in this funding round.
- Stephen Thorne from SoftBank Investment Advisers joins the TravelPerk Board of Directors.
- Avi Meir, CEO, emphasizes their vision to become the leading SaaS business travel platform for SMBs in Europe and the US.
- TravelPerk plans to use the funding to invest in its platform, improve customer experiences, and expand its product automation through AI.
Main AI News:
In a significant development for the business travel sector, TravelPerk, a hyper-growth all-in-one SaaS business travel platform, has secured an impressive $104 million investment, with SoftBank Vision Fund 2 leading the funding round. This substantial infusion of capital is poised to elevate TravelPerk’s automation and AI capabilities, further solidifying its position as a trailblazer in the realm of corporate travel.
TravelPerk’s all-in-one platform has long been recognized for its ability to streamline and simplify the complexities of planning business trips, offering a comprehensive solution that saves time, reduces costs, and minimizes the hassles associated with corporate travel. This latest investment marks a pivotal moment in the company’s journey, as it continues to shape the future of business travel.
In 2023, TravelPerk achieved remarkable milestones, reporting a remarkable year-over-year revenue growth of over 70 percent. Moreover, the gross profit soared by more than 90 percent year-over-year, and the annualized booking volumes approached an impressive $2 billion. These achievements underscore TravelPerk’s commitment to delivering value to its customers and driving substantial growth.
This funding round also saw significant participation from existing investors, including Kinnevik and Felix Capital, building upon the foundation laid during the Series D-1 round in January 2022, which was led by General Catalyst. With this latest investment, TravelPerk’s total funding now surpasses $520 million, propelling the company’s valuation to a substantial $1.4 billion.
Notably, Stephen Thorne, Investment Director for SoftBank Investment Advisers, is set to join the TravelPerk Board of Directors, further cementing the strategic partnership between TravelPerk and SoftBank. This collaboration reflects SoftBank’s recognition of the immense potential within the SMB (Small and Medium-sized Businesses) segment of the global business travel market, an area that has historically been underserved.
Avi Meir, CEO and Co-Founder of TravelPerk, expressed his enthusiasm for the future, stating, “We have a clear focus: building the number 1 SaaS business travel platform for SMB and Mid-Tier companies in Europe and the US. I’m delighted that SoftBank has backed that vision and that our existing investors continue to support our responsible and thoughtful approach to long-term growth. This latest investment comes when the winning tech companies are separating from the pack, further validating our investors’ commitment to our vision and strategy.“
Meir also took the opportunity to express his gratitude to TravelPerk’s dedicated team of over 1200 employees, who have played a pivotal role in the company’s rapid growth and success. As TravelPerk scales its presence across the US and Europe, it remains committed to expanding its workforce to support its ambitious goals.
Stephen Thorne, Investment Director for SoftBank Investment Advisers, shared his insights on the partnership, stating, “Within the enormous global business travel market, SMBs have remained a largely underserved segment. TravelPerk continues to innovate, integrating AI across the product stack to deliver a world-class experience for customers and travelers. We are excited to partner with TravelPerk and support the next growth stage.”
Looking ahead, TravelPerk plans to leverage this funding to make substantial investments in its platform, enhancing the customer experience by introducing new inventory capabilities and launching innovative business travel services. Furthermore, the company aims to expand its product automation capabilities through AI, further solidifying its position as a leader in the business travel industry.
Conclusion:
TravelPerk’s substantial investment and strategic partnerships signify a growing focus on innovation and automation within the business travel market. This infusion of capital strengthens TravelPerk’s position as a leader, poised to provide top-notch services to SMBs and mid-tier companies in Europe and the US, ultimately reshaping the landscape of corporate travel.
