Corporate travel startup TripActions raises $304 million in equity funding, pushing its valuation to $9.2 billion
While technology has disrupted and transformed the travel and tourism industry, corporate travel is still plagued with antiquated products and services. Unlike personal travel, corporate travel has many limitations. And one startup is on a mission to revolutionize the sector by helping companies streamline elements of business travel like payments, rentals, and bookings.
That’s why Palo Alto, California-based TripActions wants to revolutionize the corporate travel management industry. Late last year, TripActions raised $275M to provide a travel platform at a valuation of $7.25 billion to bring the best experience in business travel to more enterprises globally. Exactly a year later, the startup has secured new funding as it gears up for expansion and a public listing.
Today, TripActions announced it has raised $304 million in funding from investors. The funding includes $154 million in equity financing from investors including Andreessen Horowitz and Premji Invest, which valued the startup at $9.2 billion, up from its last round of $7.5 billion. Additional $150 million structured financing comes from Coatue Management’s new fund targeting late-stage startups.
“We view the raise more as insurance for us to continue to be very aggressive right in the face of this uncertain market,” said Thomas Tuchscherer, chief financial officer at TripActions. “We are investing for the company to be ready to be a public company.”
Founded in 2015 by Ariel Cohen and Ilan Twig, TripActions is a business travel platform that combines the latest AI-driven personalization with unrivaled inventory and 24×7 365 live human support to delight employees, finance leaders, and travel managers alike—all while empowering organizations to seize travel as a strategic lever for growth.
“This is a solution that’s primarily targeted at late-stage growth companies. It is less dilutive and buys them time to allow the IPO markets to open back up or to do M&A,” said Dan Rose, chairman at Coatue Ventures.
Today, Actions manages more than $1.1 billion in the annual travel budget, helping more than 2,000 customers around the world—including WeWork, Lyft, SurveyMonkey, Chubbies, Marine Layer, Complex Networks, and Sara Lee Frozen Bakery—reduce average booking time from 60 minutes down to six while achieving unprecedented corporate travel program results, including more than 90% traveler adoption, 93% traveler satisfaction and up to 34% savings on lodging alone. The company competes with American Express Global Business Travel and Concur Travel.