Subscription-focused travel company Caravelo announced Thursday that it has raised €3.5 million in a Series A funding round.
The investment is meaningful for Barcelona-based Caravelo’s future, CEO Iñaki Uriz said.
“This investment will give Caravelo the tools it needs to meet the growing demand for travel subscriptions, allowing us to continue the expansion of the team and the development of our platform,” Uriz said in a press release.
To-date, Caravelo has worked with 20 airlines including Alaska Airlines, Wizz Air and Volaris.
With its new Series A round of funding complete, Caravelo is looking to adjacent markets, Uriz told PhocusWire in an interview, noting that Caravelo has interest in partnering with hotels and other travel sectors and is exploring its options.
The company has signed with one new, non-airline partner that has yet to be announced.
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The funding for Caravelo, which has primarily partnered with airlines for subscription travel packages since its founding in 2015, was led by Samaipata. Adara Ventures and other investors participated too. The new investment marks one of the largest early-stage funding moves by venture capital firm Samaipata.
“Caravelo's product is miles ahead from anything else out there and is the only logical, enterprise-grade choice for travel subscriptions,” said Samaipata partner Luis Garay. “The company’s positioning as an industry leader and their impressive pipeline make it a very attractive investment for us.”
Adara Ventures said that stories from Alaska Airlines and Volaris on working with Caravelo were elemental in deciding to expand their investment.
“Caravelo is well positioned to take advantage of the increasing popularity of travel subscriptions, and we are proud to continue supporting the team through this next phase of growth,” said Ross Strachan, principal at Adara Ventures.
The news of the funding comes on the heels of additional success for Caravelo. José Luis Vilar, the co-founder and chief product and technology officer, said Caravelo saw more than 100% year-over-year growth over the past three years and that the valuation increased by 50% in the past year.