European-based TMC TravelPerk has raised another $104 million in funding to take the company’s current valuation up to $1.4 billion.
The extra money raised will be used by TravelPerk to boost its automation and AI capabilities for customers as it looks for “continued growth, product expansion and acceleration of gross profit”.
TravelPerk’s new funding has been led by Japanese banking giant SoftBank with investment also by existing shareholders Kinnevik and Felix Capital. The company said it was an extension of the funding round which was first announced in January 2022.
Avi Meir, CEO and co-founder of TravelPerk, said the TMC was focused on offering a SaaS (software as a service) business travel platform for SMEs and “mid-tier” companies in Europe and 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,” added Meir.
“This latest investment comes during a time when the winning tech companies are separating from the pack, and it further validates our investors’ commitment to our vision and strategy.”
The company, which was ranked as the 13th largest TMC in Europe last year in BTN Europe's list of the Leading TMCs, said its revenue rose by more than 70 per cent year-on-year in 2023 as the value of bookings approached $2 billion.
As part of this latest fundraising, Stephen Thorne, who is investment director for SoftBank Investment Advisers, will join TravelPerk’s board of directors.
Thorne said that SMEs had “remained a largely underserved segment” within the global business travel market.
“TravelPerk continues to innovate, integrating AI across the product stack to deliver a world-class experience for customers and travellers,” he added. “We are excited to partner with TravelPerk and support the next stage of growth.”
The race to win more of the SME business travel market is one of the major developments featured in BTN Europe’s Hotlist 2024, which has been published this week.