The Singapore-based RedDoorz that offers accommodations across key business and tourist destinations in Southeast Asia has raised $70 million in its second ongoing funding round this year. The company sees this opportunity to cater to the low-budget accommodation needs of the region’s growing travelers.
The funding was led by major investors including Singapore’s private equity firm Asia Partners and Mirae Asset-Naver Asia Growth Fund – a joint venture between South Korea’s Mirae Financial Group and Naver Corporation. The funding was also joined by Rakuten – Japanese electronic commerce.
Founded in 2015, RedDoorz is the fastest-growing budget accommodation provider in Southeast Asia, having over 500 properties in Indonesia, Philippines, and Singapore.
According to RedDoorz’s founder and CEO Amit Saberwal, RedDoorz has been seeing “tremendous interest from investors, so it is decided to do back-to-back rounds.”
“Six hundred million people are getting affluent, purely from an opportunity standpoint, it is reaching a scale which can far surpass many of the more better-known markets, in many ways, including India,” said Saberwal.
The company said that they will use the raised fund in launching in new markets and push more hotel staff training programs. The company also plans to build a new technology hub in Vietnam.