Casa2 Stays, the parent company of hospitality chain FabHotels, has raised Rs 128 crore or $15.6 million in a new round led by Panthera Growth Partners. This is the first notable round of investment for the Gurugram-based company in the last three years.
The board at FabHotels passed a special resolution to issue 40 equity and 4,22,877 Series C preference shares at an issue price of Rs 3026.1 per share to raise Rs 128 crore or $15.6 million.
Panthera Growth Partners led the round with Rs 120 crore while Accel India infused around Rs 8 crore during the round. In September, Entrackr exclusively reported about the development.
Following the fresh proceeds, Accel is the largest external stakeholder in FabHotels with 21.39% followed by Goldman Sachs. New investor Panthera secured 10.64% holding after leading this round while its co-founders Vaibhav Aggarwal and Adarsh Manpuria cumulatively own 25.84%. Check TheKredible to see the detailed captable.
The company has raised Rs 514 crore ( more than $65 million) to date and has been valued at around $141 million post allotment of the new round, as per TheKredible estimates.
In our last report, Entrackr also highlighted that FabHotels’ parent is raising money to scale its new vertical TravelPlus. The newly launched business is a travel and expense management platform which has tied up with more than 350 companies including Spinny, SpiceJet, Byju’s, Ninjacart, Zomato, and PolicyBazaar.
FabHotels is yet to file FY23 numbers but it reported Rs 150 crore in revenue in FY22 against Rs 82 crore in FY21. It’s worth highlighting that the firm controlled its losses significantly to Rs 5.9 crore from Rs 20 crore in the previous year. FabHotels last raised around $3 million from Accel and Goldman Sachs in October 2020.
FabHotels’ direct competitor Treebo Hotels raised $16 million led by French hospitality giant Accor as a part of Series D round in June 2021. Oyo, the largest player in the space, is reportedly in talks to raise a big round as the Gurugram-based firm is still awaiting approval for its initial public offering (IPO).