Workflow
SoftBank-backed TravelPerk doubles valuation to $2.7 billion, plans fintech push
SoftBankSoftBank(US:SOBKY) CNBCยท2025-01-28 05:45

Funding and Valuation - TravelPerk raised $200 million in a funding round, valuing the company at $2.7 billion, doubling its market value from January 2024 when it was valued at $1.4 billion [2] - The funding round included participation from investors such as Atomico, EQT, and Noteus Partners [2] - The company previously raised $104 million in January 2024 and an additional $135 million in debt financing later in the year [6][7] Growth and Expansion - The fresh funding will be used to accelerate growth, fuel expansion in the US market, and invest in product, technology, and artificial intelligence [1] - TravelPerk acquired Yokoy, a Swiss spend management platform, to expand into financial services and create a more unified travel and expenses platform [1] - The company also acquired AmTrav, a Chicago-based corporate travel booking software firm, to further its expansion in the US market [6][7] Market and Revenue - TravelPerk's revenue has grown to around five times its pre-COVID levels after a rapid decline in 2020 and 2021 due to the pandemic [3] - The global value of corporate travel reached $1.5 trillion in the past year, up 6% compared to pre-pandemic levels in 2019 [5] - The US and European corporate travel market is estimated at $200 billion, with about half of it being unmanaged and fragmented [7][8] Strategic Focus - TravelPerk is focused on addressing the complexities of corporate travel, which is a significant area of spending for businesses [4][5] - The company has a long-term view and is not rushing for an IPO, prioritizing customer satisfaction and sustainable growth [8][9] Investor Perspective - Investors are drawn to TravelPerk's growth story, particularly its recovery and expansion post-COVID [3][4] - The corporate travel market is seen as a growing and enduring sector, with significant potential for innovation and consolidation [5][7]