Engine, previously known as Hotel Engine, has secured $140 million in Series C funding led by a private equity firm advised by Permira, boosting its valuation to $2.1 billion. This marks a significant 62% increase from its prior valuation of $1.3 billion following a $65 million Series B round in late 2021.
This growth comes amid a challenging environment where many startups are facing flat or declining valuations post-pandemic. It also signals a rebound in the business travel sector, which was heavily impacted by COVID-19.
Engine’s platform connects business travelers with over 750,000 hotels, 300 airlines, and 40 rental car companies. These providers leverage Engine’s system to offer exclusive deals, manage bookings, and enhance their marketing efforts.
The company, which is profitable and experiencing 70% year-over-year revenue growth, plans to use the new capital to enhance its product offerings, including flight and rental car bookings. Additionally, Engine will undergo a rebranding, aiming to reflect its broader vision for business travel.
CEO Elia Wallen stated, “Hotel bookings will always be in our DNA, but we’re committed to transforming the entire travel experience. Our new name will embody this ambition, and with Permira’s investment, we’re positioned to realize our goals.”
This funding round marks the largest raised this year by a travel startup, surpassing the $106 million raised by Spain-based TravelPerk in January. Since its inception in 2015, Engine has raised a total of $221 million, according to Crunchbase data.
