TravelPerk Secures $104 Million Investment from SoftBank to Propel AI Development

A travel management startup based in Barcelona TravelPerk raised $104 million in fresh funding led by the SoftBank Vision Fund 2 and supported by existing stakeholders such as Kinnevik and Felix Capital. The company intends to direct these fresh funds towards artificial intelligence and create new solutions designed to further elevate the customer experience.

Avi Meir, the CEO and co-founder of TravelPerk, expressed, \"Our goal is clear: to establish the leading SaaS travel platform for small and mid-sized businesses in Europe and the U.S. We're thrilled that SoftBank believes in our vision and that our current investors continue to support our deliberate and sustainable growth strategy. This recent funding comes at a pivotal moment when the top technology firms are distinguishing themselves, reaffirming our investors' faith in our strategy and goals.\"

Meir also acknowledged, \"We owe a great deal to our dedicated team of over 1,200 employees, whose efforts have been crucial in driving our growth and successes. We plan to expand our workforce even further as we enhance our operations across the U.S. and Europe.\"

With a total of around $427 million raised before this latest funding, TravelPerk’s financial journey includes the fourth phase of its Series D funding round, which began in 2021 with a generous injection of $160 million in both debt and equity. The following year, the company added another $115 million in a follow-up round designated as Series D-1.

TravelPerk’s AI-Driven Strategy Aims to Revolutionize SMBs

At the heart of TravelPerk's operations are sophisticated AI technologies like machine learning and neural networks. These advanced technologies are utilized on the backend to automate numerous tedious tasks associated with corporate travel. One significant achievement is connecting users to the most favorable rates for flights and accommodation.

"In the vast global business travel arena, small and mid-sized businesses have largely been overlooked. TravelPerk relentlessly innovates, embedding AI across its entire product lineup to provide customers and travelers with top-notch experiences. We’re thrilled to partner with TravelPerk and back the next phase of their expansion,\" commented Stephen Thorne, investment director at SoftBank Investment Advisers.

TravelPerk reported a remarkable revenue increase of over 70% in 2023, while gross profits soared by 90% year-on-year.

"The TravelPerk team has consistently delivered on their ambitious objectives, regardless of the fluctuating external landscape. Compared to the time before the pandemic, the company has seen a tenfold growth in volumes and has swiftly advanced in product innovation, leading to enhanced customer satisfaction and doubled monetization. We're particularly excited by the impressive efficiencies generated through automation, laying the groundwork for scalable future growth,\" said Akhil Chainwala, investment director at Kinnevik.