Flyr Raises $295 Million, Valuation Hits $900 Million as Travel Tech Startup Expands
Flyr, a travel technology startup that provides software solutions to companies including JetBlue Airways Corp., has successfully raised $295 million in a new funding round, marking a significant milestone in its growth trajectory. The funding, which comprises both equity and debt, propels Flyr's valuation to $900 million, according to a source familiar with the matter.
The funding round was led by WestCap, with additional investments from BlackRock funds, Streamlined Ventures, and a subsidiary of the Abu Dhabi Investment Authority. The financing package breaks down to $225 million in equity and $70 million in debt, bringing Flyr's total investment to date to an impressive $500 million.
Alex Mans, Chief Executive Officer of Flyr, sees a substantial opportunity in upgrading the technology predominantly used by travel companies. "Monopoly legacy vendors have stifled innovation," Mans stated, highlighting the company's mission to challenge the status quo in travel technology.
Flyr's growth strategy includes an active approach to acquisitions. Mans revealed, "We did six acquisitions in the last 24 months," and indicated that the company remains open to further opportunities, stating they are "definitely keeping our ear to the ground to see if there are other opportunities on the horizon."
The latest funding round brings a notable addition to Flyr's board: Laurence Tosi, Managing Partner at WestCap. Tosi, who previously served as the chief financial officer of Airbnb Inc., brings valuable experience from the travel industry. Despite recent challenges faced by Airbnb on Wall Street, Tosi remains optimistic about the travel sector's potential. "The travel market is about 11% of global GDP," he noted, emphasizing the industry's significant economic impact.
Flyr's rapid growth has impressed investors, with Tosi remarking, "They've gotten to scale faster than probably we even thought they would." The company reports nearly quadrupling its annual run rate revenue in the last 12 months, demonstrating strong market traction.
This substantial funding round and impressive valuation underscore the growing importance of innovative technology solutions in the travel industry. As the sector continues to evolve and recover from recent global challenges, companies like Flyr are positioned to play a crucial role in shaping the future of travel technology.
The infusion of capital is expected to fuel Flyr's continued expansion and development of its software solutions, potentially accelerating the modernization of technology infrastructure across the travel industry.
