Travel and tourism has seen a strong rebound post-COVID, and property management software company Guesty is capitalizing on this resurgence. The company recently announced it has raised a $130 million Series F round led by private equity firm KKR, valuing the business at $900 million.
Founded in Tel Aviv and now headquartered in New York, Guesty provides a platform for property managers to list and book accommodations across sites like Airbnb and Vrbo. According to the company, its revenue has increased 5x over the past three years. CEO Amiad Soto noted they expect to become profitable this year.
The large funding round underscores investors’ continued appetite for travel tech startups as the industry rebounds from the pandemic. It follows other nine-figure rounds raised by Guesty’s competitors like Hostaway and Mews in recent months.
Soto plans to deploy the new capital into expanding Guesty’s platform for its “hundreds of thousands” of existing property clients. This includes adding more payments, insurance, and website building tools to its one-stop-shop management software. The company also aims to move into the medium-term rental space beyond just short-term lets.
With a difficult funding environment, Guesty may also pursue acquisitions to consolidate the property management sector. This Series F positions the company for further growth as travel and tourism sales are forecast to hit record highs in 2024. It demonstrates investors still see opportunities in travel tech supporting the industry’s post-pandemic recovery.