Sept 17 (Reuters) - Hotel Engine said on Tuesday it had raised $140 million in a funding round led by a fund advised by private equity giant Permira that valued the travel technology startup at $2.1 billion.
WHY IT'S IMPORTANT
Business travel has started to recover after a pandemic-era slump. Companies offering services to ease the processes behind bookings and logistics have been seeing strong demand.
Meanwhile, venture capital and private equity-led funding markets are also on the mend following a prolonged slump due to higher-for-longer interest rates.
CONTEXT
Hotel Engine said it is focused on simplifying business travel by providing software that saves companies time and money without the hassle of contracts, agent-assist fees or minimum spends.
Its customers include snack and beverage giant PepsiCo PEP.O, media company NBCUniversal and supermarket chain Whole Foods Market, according to the company's website.
Hotel Engine offers business travelers benefits such as consolidated invoices, 24/7 customer support and insurance.
Its series C funding round was led by Permira Growth Opportunities II.
BY THE NUMBERS
Hotel Engine said it is profitable, recording a 70% year-over-year revenue growth at scale, and is on track to book more than 10 million room nights this year.
Focused on business travel, it has a network of over 750,000 hotels, 300 airlines and 40 rental car companies, among others.
The company was valued at $1.3 billion in a series B round in November 2021.
WHAT'S NEXT
Hotel Engine said new capital from the round will be used to fund ongoing product development, including the launch of flight and rental car bookings on its platform.
The company is rebranding its name to 'Engine' and expects the new booking options to go live in October.
(Reporting by Manya Saini in Bengaluru; Editing by Shreya Biswas)
((Manya.Saini@thomsonreuters.com; X: manya__saini;))