To keep up with the rising demand for the short term rentals in the United States of America cities and to compete with the home sharing giant Airbnb, travel site Expedia has now picked up a pair of venture-backed hospitality startups ApartmentJet and Pillow.
Employees of both the companies are now going to join the Expedia. The company as of now has declined to disclose the financial terms of the acquisitions.
“Acquiring Pillow and ApartmentJet will help unlock urban growth opportunities that, over time, will contribute to HomeAway’s ability to add an even broader selection of accommodations to its marketplace and marketplaces across Expedia Group brands, ensuring travelers always find the perfect place to stay,” the company explained in a statement.
According to the report, which has been revealed it has been said that the Expedia has paid $3.9 billion for HomeAway and its portfolio of travel brand in the year 2015. This deal was first in the domain of alternative accommodations space, as well as the beginning of a series of efforts to outdo VC darling Airbnb. Its latest targets provide some of the software tools for the property managers to easily manage the short-term rentals on the Airbnb competitors like the HomeAway and VRBO.
The startup which is located in San Fransisco, Pillow helps the residents to list out their apartments as a short-term rental without violating the policies of the lease. As of now, it has raised $16.5 Million in the Venture Capital in the year 2013 which also includes a $13.5 Million round last year which is led by the Mayfield in collaboration with the Sterling Venture Capitalist, Expansion VC, Dennis Phelps, Veritas Investments, Peak Capital Partners, and Chris Anderson.
Apartmentjet which helps the property owners earn the money off vacancies. The startup which is founded in the year 2016, the Chicago headquartered based startup has raised a $1.2 Million in the capital from the BlueTree and Network ventures.
Bellevue-based Expedia Group owns several travel brands, including HomeAway, VRBO, Travelocity, Trivago, Orbitz, and Hotels.com. The company is both an active investor in and acquirer of startups.
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