Bengaluru-based Treebo Group of Hotels today said it has raised Rs 112 crore in Series-B funding round led by Bertelsmann India Investments (BII).
Existing investors, SAIF Partners and Matrix Partners India also participated in the round of funding, it said in a statement.
Treebo currently has 125 hotels in 25 cities across the country in its network and the company said it plans to use the fresh round of funds for furthering its expansion, strengthening its marketing outreach.
It looks to expand its footprint to more than 60 cities, and quadruple its current inventory from over 3,000 to 12,000 plus keys across 450 properties, over the next 12 months. These cities will include a mix of business and leisure destinations.
The company is also eyeing to launch new brand extensions along the way, including a mid-scale brand and a leisure brand.
“Treebo is serving a huge unmet need in the budget travel space – that of reliable and affordable accommodation. Over the last one year, they have maintained a sharp focus on delivering a great guest experience, and have extensively deployed technology in all parts of their operations to accomplish this objective.
“We are excited to partner them in a journey towards building the most loved consumer brand in the hospitality space,” Bertelsmann India Investments Managing Director Pankaj Makkar said.
The latest infusion of funds takes the total capital raised by the company till date to Rs 150 crore.
Investec India was the exclusive financial adviser for the company for this fundraise.
“Bertelsmann is a highly respected name in the venture capital world. They are known for taking a long term view of their investments, and for supporting companies that are building sustainable, value-creating businesses, Treebo Co- founder Rahul Chaudhary said.
“Further, their vast experience in media will prove invaluable in helping build the Treebo brand,” he said.