The Hosteller Raises $1 Mn Pre-Series A Round
With the fresh capital, The Hosteller aims to grow from 12 hostels to 50 hostels, as well as expand its operations across the Southeast Asian countries
The Hosteller, the platform of backpacker hostel chains, recently announced to have raised $1 million in a funding round led by FAO ventures & CA Holding LLP. The round also saw the participation of other marquee investors such as SUNiCON Ventures, Shubhkam Ventures, Jito Angel network, and FAAD Network.
With the freshly infused capital, The Hosteller plans to grow the number of hostels from 12 hostels to 50. The brand further seeks to raise $10 million as a part of its Series A round to expand its footprint further in India & Southeast Asia.
“People are looking for more experience-driven stays that are pocket-friendly, safe, and comfortable rather than just luxury when it comes to their vacations. The Hosteller was founded with the aim of creating lasting memories for everyone looking for more than just a vacation in India. The fresh capital infusion will help us reach new heights and we are happy to have marquee investors backing us in our journey,” said Pranav Dangi, founder, The Hosteller.
“We were glad to lead the round for The Hosteller which has demonstrated a very good understanding of the space and has created a recognizable brand with excellent unit economics giving us the confidence that they can become a dominant player in the Indian hospitality landscape and move even outside the country in due time. Instead of being a pure-play aggregator like some of the larger players, The Hosteller has created a model which is backed by consistent quality and value-added services delivered at a price which is accessible to the larger population of India,” added Farooq A Oomerbhoy, founder, FAO ventures