ZEN Rooms, a platform known for its best value-for-money accommodations, has raked in $4.1 million in series A round. South Korea’s Redbadge Pacific and SBI Investment Korea led the funding round, while Asia Pacific Internet Group (APACIG), one of its existing backers also fueled in some capital.
The funding brings the total equity financing raised by ZEN Rooms, till date, to $8 million with the previous seed round remaining undisclosed. The budget hotels aggregator will channelize the funds to further ramp up its operations across Asia and also introduce some novel innovative features on its platform.
Kiren Tanna, ZEN Rooms’ Co-Founder, and Global Managing Director, said in an official statement,
I am delighted with the fast growth we are seeing, allowing safe, value-for-money travel for thousands of guests daily and higher occupancy for our partners. This funding round is now an important milestone to consolidate our early leadership and launch more features to modernize temporary budget accommodation in South-East Asia.
With a motto as simple and catchy as Sleep well, Pay Less!, ZEN Rooms was put to life in 2015 when the founding team witnessed a not-so-satisfiable chain of budget stays in Indonesia. It went on to disrupt the entire market and came up with better value-for-money stays for the rising number of budget-conscious travelers in the region. And, since then it has grown rapidly and has maintained a strong presence in markets including Malaysia, Philippines, Singapore and Thailand.
ZEN, staying true to its motto, charges US$10 only for en-suite double rooms with A/C and Wi-Fi start, all included – well below most local hotel chains. This impressive value-for-money proposition has led it up to a greater customer satisfaction and collaborations with some renowned firms such as AirAsia and Uber. Hanno Stegmann, CEO of APACIG added,
ZEN Rooms is a highly promising company within our portfolio, efficiently addressing the large problem of budget travel reliability & safety in emerging markets.