Deal announced for Santa Monica-based travel management platform
TravelPerk completes acquisition of NexTravel to expand presence in the US
Global travel management platform TravelPerk’s growth ambitions in the US have been given a boost with the acquisition of NexTravel.
The deal, announced this morning for an undisclosed sum, covers the Santa-Monica-based firm’s customer base, technology, employees and inventory.
NexTravel was founded in 2013 by co-founders Wen-Wen Lam and Alexey Pakhomov and launched in 2015 from Y Combinator.
More than 700 business clients in the US use NexTravel to book, manage, expense and report employee travel, with over 300,000 trips processed on the platform to date.
TravelPerk said the acquisition will “significantly increase the volume of US-based travel spend on the TravelPerk platform to new heights, helping the company to consolidate its position as an industry leader and emerge stronger from the pandemic, whilst setting it up as a force to be reckoned with in the US”.
NexTravel is TravelPerk’s second and largest acquisition, following the integration of risk management start-up Albatross in July 2020.
The firm has also announced a partnership with Southwest Airlines, so US clients can access the carrier’s full inventory for booking domestic flights.
Avi Meir, chief executive and co-founder of TravelPerk, said: “Our primary goal this year has been to meet our customers’ changing needs in business travel as they navigate the unique challenges created by Covid-19.
“Despite the temporary slowdown in travel worldwide, we have been able to invest significantly in our products and technology and move quickly to strengthen our offering, giving us a great platform for continued growth in our priority markets, particularly the US.
“The US has been an important market for TravelPerk for some time, but we’re now more committed than ever to growing our presence here.
“The acquisition of NexTravel will accelerate our growth in the US, doubling the size of our team on the ground and adding significantly to our client base and in-market expertise.
“This is another important milestone in TravelPerk’s global growth and we are excited to bring our combined offering to market.”
Lam added: “NexTravel and TravelPerk share the same core mission: giving travel managers and travellers worldwide a unique travel experience.
“Now more than ever, we know travel managers need visibility and control, while travellers want to feel supported, safe and secure.
“By joining forces with TravelPerk, we’ll be able to bring a world-class booking experience to our customers and extend their international capabilities.
“We can’t wait to continue the great work alongside their team in setting new standards for the industry.”
TravelPerk said its focus in 2020 has been on overcoming the health crisis by providing innovative solutions for travel in a COVID and post-COVID world.
The company said it has increased its customer base and future-proofed products to help clients navigate the complex travel environment caused by the pandemic.
“TravelPerk has been continuously improving existing products like FlexiPerk, and also released new products this year including the standalone TravelSafe API, which makes real-time data on Covid-19 travel restrictions available to the whole travel sector,” the firm said.