(Reuters) – U.S. last-minute hotel booking app HotelTonight said on Wednesday it had raised $37 million in a funding round as it seeks to expand its international hotel network and invest in campaigns marketing.
The Series E funding round, which was led by venture capital firm Accel Partners and valued the profitable San Francisco-based company at around $500 million, takes a step towards a possible initial public offering, although the company has not yet defined such plans. .
HotelTonight users can use the app to book hotels up to a week in advance, often at discounted prices. It has 25,000 hotel partners in more than 30 countries, who offload their unused rooms onto the platform.
HotelTonight relies on its sleek mobile interface to compete with its much larger booking competitor, Expedia Inc. EXPE.O.
Earlier this year, HotelTonight entered into a partnership with British football team Chelsea FC
Other investors in the company include Battery Ventures, US Venture Partners, GGV Capital, Coatue Management and First Round Capital, which also invested in the most recent round.
(This story has been corrected to remove the incorrect revenue line in the original paragraph 3)
Reporting by Lauren Hirsch in New York; Editing by James Dalgleish