Singapore-based RedDoorz has bagged $70 million in ongoing Series C financing round, following its success in closing $45 million in Series B in April.
The round was led by Singaporean private equity firm Asia Partners, with the chipping of Rakuten Capital and Mirae Asset-Naver Asia Growth Fund.
RedDoorz said it will use the proceeds to launch in new markets, strengthen its technology base and improve its human resources, to reinstate its leadership in the region.
In addition, it will pour a large part of the funding into building a second technology hub in Vietnam, to complement its first hub in India.
According Amit Saberwal, founder and CEO of RedDoorz, the company sees tremendous opportunities to grow its platform and expand into new markets.
Launched in October 2015, RedDoorz has now been present in four Southeast Asia markets including Indonesia, Singapore, the Philippines and Vietnam, with a property network of some 1,400 across the region offering people affordable stay in all major cities and destinations.
The company target to grow its property network to 2,000 by the end of 2019.
As a part of the RedDoorz brand network, hotel or property owners can receive 80 per cent of revenue arriving from the hotel-booking platform. RedDoorz solutions also help its partners manage distribution, pricing, marketing, customer experience and technology solutions that offering an end-to-end platform powered by advanced technology infrastructure.
Meanwhile, RedDoorz’s rival, Softbank-backed OYO Hotels and Homes has opened for business in Vietnam in early July with 90 franchised hotels in major cities of Hanoi, Ho Chi Minh City, Danang, Nha Trang and so on. The Indian hotel chain has plans to expand its network to 10 cities by 2020 as part of an attempt to further strengthen its footprint across Southeast Asia.
OYO has pledged to inject over $50 million in the next few years in Vietnam to help transform the country’s hospitality landscape and provide quality affordable accommodations to local and international tourists.