17 Travel Startups Raise $636 Million in 3 Weeks

Travel Startup Funding This Week

Each week we round up travel startups that have recently received or announced funding. Please email Travel Tech Reporter Justin Dawes at jd@skift.com if you have funding news.

Travel startups have raised nearly a billion dollars so far in November.

Seventeen travel companies raised nearly $636 million in the last three weeks. That's on top $318 million earlier this month for flying taxi startup Beta Technologies, plus some smaller fundraises.

The most significant so far this month — and all year for a software company — was Lighthouse which raised $370 million for its hotel tech platform.

Some of the main funding themes have continued, with deal for three electrified transport companies, several airline and hotel tech startups, and a handful of tech providers for tour operators.

Lighthouse, which provides hotel tech for pricing, promotion, and distribution, has raised $370 million in series C funding. 

Investment firm KKR led the round, with support from Spectrum Equity, F-Prime Capital, Eight Roads Ventures, and Highgate Technology Ventures. 

The startup raised $80 million in 2021. 

London-based Lighthouse (formerly OTA Insight) uses AI to process and analyze market data to help hotels and short-term rentals with commercial decisions.

The funding will go toward expansion, acquisitions, and strengthening the product. 

(Read Skift’s story.)

Vertical Aerospace, which is developing a flying taxi, has secured a funding commitment of up to $50 million from Mudrick Capital. 

It includes $25 million in upfront funding and an additional $25 million backstop, meaning Mudrick will pay the second half if Vertical Aerospace is unable to raise it from other sources. Stephen Fitzpatrick, may also invest an additional $25 million on similar terms.

The transaction converts $130 million in convertible notes into equity at $2.75 per share, reducing debt and fixing the conversion price of remaining notes at $3.50 per share. Loan repayments have been extended to December 2028.

London-based Vertical Aerospace is developing an electric vertical take-off and landing (eVTOL) aircraft. The design, called VX4, is for four passengers and one pilot. The plan is that it will complete trips of up to 100 miles at a speed of up to 150 miles per hour. 

Fitzpatrick earlier this year invested $50 million to provide the startup enough cash to continue operations until the second quarter of 2025.