Singapore’s RedDoorz raises $97 million
Singapore's hotel booking and management platform RedDoorz has raised US$70 million (S$97 million) in an ongoing funding round, its second this year, as it targets the region's growing breed of domestic travellers seeking budget accommodation options.
Singaporean private-equity firm Asia Partners led the round, with participation from Japan's Rakuten Capital and Mirae Asset-Naver Asia Growth Fund, a joint venture between South Korea's Mirae Financial Group and Naver, and existing investors, RedDoorz said in a statement.
The company will use the fresh funds to launch in new markets, boost hotel staff training programmes and build a technology hub in Vietnam, its second after India.
RedDoorz, which was founded in 2015, had raised US$45 million in a series B round in April, led by Chinese venture capital firm Qiming Venture Partners.
It did not provide a valuation.
The company works with small hotel owners to provide training to staff, and ensure standard service and facilities.
It brings the fragmented hotels under a RedDoorz brand and markets them through its platform. It works under revenue-sharing agreements with them.
"600 million people are getting affluent, and purely from an opportunity standpoint, it is reaching a scale that can far surpass many of the better known markets, in many ways, including India," RedDoorz chief executive and founder Amit Saberwal said.
The company plans to have 2,000 hotels by the end of this year and 15,000 hotels in Southeast Asia by 2022, from 1,400 at present, added Mr Saberwal, who was previously with Indian travel booking site MakeMyTrip. - REUTERS