TravelPerk acquires AmTrav to accelerate US expansion and announces new $135m backing from Blackstone and Blue Owl
TravelPerk announced its acquisition of Chicago-based AmTrav, a move that will significantly boost its presence and revenue in the US, potentially making the US its top revenue-generating region.
The acquisition includes AmTrav's tech platform and expands TravelPerk's US footprint to Boston, Chicago, Los Angeles, and Miami. The deal is expected to double TravelPerk’s US revenue, following a 65% year-over-year growth in 2023.
Additionally, TravelPerk has secured $135 million in new funding from Blackstone Credit & Insurance and Blue Owl Credit, adding to the $104 million Series D1 Extension funding raised in January 2024. The company aims to become the leading SaaS business travel platform for SMB and mid-tier companies.
- The acquisition of AmTrav will double TravelPerk's US revenue.
- TravelPerk experienced 65% year-over-year growth in the US market in 2023.
- The company's US footprint now includes Boston, Chicago, Los Angeles, and Miami.
- TravelPerk has raised a new $135 million credit facility from Blackstone and Blue Owl.
- The company also raised $104 million in a Series D1 Extension funding round in January 2024.
- The acquisition enhances TravelPerk's technology and resources.
- The deal could make the US TravelPerk’s top revenue-generating region.
- No specific negative aspects were highlighted in the PR. It is important for investors to keep an eye on post-acquisition integration challenges and the effective utilization of the raised funds.
Insights
TravelPerk's strategic acquisition of AmTrav marks a significant move in the highly competitive business travel market, particularly in the US. TravelPerk aimed at expanding its US market presence, a region that saw
Moreover, the acquisition's timing is noteworthy. While the global travel industry is rebounding, TravelPerk’s move suggests confidence in continuous growth. The new offices in key US cities like Boston, Chicago, Los Angeles and Miami signal a robust market penetration strategy.
Investors should consider this move as a strengthening of TravelPerk's market position and a likely increase in market share. However, the integration challenges and maintaining service quality during the transition remain areas to watch.
TravelPerk’s recent acquisition of AmTrav and securing a new
The potential doubling of revenue in the US market indicates a strong growth trajectory. The collaboration with major investors suggests market confidence in TravelPerk's business model and expansion plans. The emphasis on AI and tech-driven solutions further aligns with industry trends towards automation and efficiency in travel management.
Nonetheless, investors should be cautious about the debt load and the ability of TravelPerk to maintain profitability amidst rapid expansion. The company's ability to deliver consistent service and customer satisfaction during this period will be telling of its long-term viability.
The acquisition of AmTrav brings together two tech-driven platforms that emphasize AI and cutting-edge travel management solutions. TravelPerk's focus on proprietary tech and AI capabilities is poised to revolutionize the business travel management industry. The integration of AmTrav’s highly localized tech platform will provide a competitive edge, potentially enhancing customer experience and operational efficiency.
The AI-led approach mentioned by TravelPerk’s investors is significant. AI can streamline processes, from booking to travel expense management and personalize travel experiences, which is increasingly important for SMBs and mid-market companies. Additionally, the expansion of tech infrastructure through new offices in strategic US locations allows for localized support and faster implementation of new technologies.
However, the challenge lies in seamlessly integrating these technologies without disrupting existing services. The scalability of these platforms will be important in determining the success of this acquisition.
- Global SaaS leader TravelPerk accelerates US expansion with strategic acquisition; US to become company’s top revenue-generating region
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AmTrav's highly localized tech platform doubles TravelPerk’s US revenue and expands its footprint to include offices in
Boston ,Chicago ,Los Angeles andMiami -
TravelPerk has raised
of capital in 2024 from leading investors$240m Blackstone , Blue Owl, and SoftBank Vision Fund 2
Both platforms will capitalize on proprietary tech, AI capabilities, and expanded resources to further expand in the US - a market valued at
The acquisition will see TravelPerk double its revenue in the US, following
Additionally, TravelPerk has raised a new credit facility of up to
Avi Meir, CEO and Co-Founder of TravelPerk, commented:
“I’m thrilled to welcome Jeff, Craig and AmTrav to the TravelPerk team, as they bring a shared dedication to innovation and providing solutions that customers love. Their decades-long track record of success in the US will supercharge our growth in the US and around the world. And with the financial backing of world-class investors in
Jeff Klee, CEO of AmTrav commented:
“I've admired TravelPerk for a long time and the more I've gotten to know Avi and his team, the more I've seen what kindred spirits our companies are. AmTrav’s customers will benefit from TravelPerk's global reach, scale and culture of innovation. Together, we'll continue the mission to use new technology and the right amount of human touch to make life better for businesses and their travelers. Craig and I couldn't be more excited to join this immensely talented team.”
Laura Johnson, Managing Director of Blackstone Credit & Insurance, commented:
“We are excited to partner with TravelPerk as it further expands into the US market, leveraging the power of the
Stephen Thorne, Investment Director of SoftBank Investment Advisers, commented:
“In adopting an AI-led approach to expand product automation, TravelPerk’s business model is well positioned to scale pan-regionally. We believe the combination of the TravelPerk and AmTrav platforms will provide unparalleled service and choice for US SMB and Mid-Market companies.”
About TravelPerk
TravelPerk is a hyper-growth SaaS business travel platform and a pioneer in the future of business travel. Its all-in-one platform gives travelers the freedom they want whilst providing companies with the control they need. The result saves time, money, and hassle for everyone. TravelPerk has industry-leading travel inventory alongside powerful management features, 24/7 customer support, state-of-the-art technology, and consumer-grade design, all of which enable companies and organizations worldwide like Betterment, Adyen (Nasdaq: ADYEY), Wise and Red Bull to get the most out of their travel. Backed by world-class investors like SoftBank Investment Advisers, General Catalyst, Kinnevik, Greyhound Capital, Felix Capital, Target Global, LocalGlobe, Spark Capital, and Heartcore — investors in some of the most disruptive companies in tech, including Airbnb, Uber, Slack, Twitter, Trello, Zalando and Delivery Hero — TravelPerk is reinventing business travel with an end-to-end solution that works. Visit www.travelperk.com for more information.
About AmTrav
AmTrav is an award-winning, modern technology and service platform designed to make business travel personal and productive. Companies of all sizes use AmTrav to book trips, find savings, set travel policies, manage payments and expenses, and keep their travelers safe. Travelers and companies love AmTrav's powerful platform that provides a seamless travel management experience supported by our experts who are always ready to help 24x7. More than 1000 businesses trust AmTrav to go places, meet people, and go further. To learn more about AmTrav and our approach to modernizing air travel, visit www.amtrav.com
Advisers
Oppenheimer & Co. Inc and Houlihan Lokey, Inc acted as financial advisers and Bradley Arant Boult Cummings LLP served as legal adviser to AmTrav. Wilson Sonsini Goodrich & Rosati, P.C. served as legal adviser to TravelPerk.
View source version on businesswire.com: https://www.businesswire.com/news/home/20240617940225/en/
Samantha Marshall
+447412212304
press@travelperk.com
Source: TravelPerk
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