At a time when the hospitality industry is reeling under loss of layoffs and business, Bangalore based Ruptub Solutions, which runs budget hotel aggregator Treebo, has now secured $6 million in the latest funding round from the returning investors.
The new capital was secured by the SAIF Partners, Matrix Partners India, Bertelsmann India Investments and Ward Ferry.
“When people start traveling again, they will look to stay with trusted brands rather than looking for the cheapest alternative or taking a chance with a mom-and-pop hotel. This is where Treebo’s strength lies. They have built a loved brand, which will likely see a spike in customer uptake and revenue once the pandemic recedes,” he said.
“Before the pandemic unfolded, Treebo had a strong growth trajectory and we were well on our way to hit EBITDA profitability within this calendar year. Our EBITDA loss in February, for example, was under Rs 10 lakh — an improvement of 95% on a year-on-year basis. While Covid has delayed our breakeven timeline, we are confident about the long term prospects of the business…,” Sidharth Gupta, co-founder of Treebo said.