- RedDoorz secures $28.2M from returning investors after achieving cash flow positive in Q4 2023.
- The company broke even in Indonesia and the Philippines.
- Despite COVID-19 challenges, RedDoorz has raised over $134M and plans to expand into Malaysia.
Singapore-based hospitality firm RedDoorz has secured $28.2 million from returning investors Asia Partners and Mirae Asset Venture Investment, among others.
Support from investors are enough
While the company did not confirm the raise, founder and CEO Amit Saberwal stated that as a series C company, “our internal investors supported us through Covid till where we are today – achieving group cash flow positive.”
RedDoorz attained cash flow positive at the group level in the fourth quarter of 2023. This milestone, according to Saberwal, sets the company up for profitability and self-sufficiency in 2024.
The achievement was a result of continuous supply growth through their multi-brand portfolio, focusing on improving unit economics and optimizing operating expenses.
The unbreakable spirit after COVID
The company had previously broken even in Indonesia and the Philippines, which contribute 95% to its business in the fourth quarter of 2022. However, RedDoorz also faced challenges due to the COVID-19 pandemic, reducing its properties in Vietnam by 37% and laying off 90 employees in its non-core markets.
Despite these setbacks, the company has raised over $134 million from investors such as International Finance Corporation, Jungle Ventures, MNC Media, and 500 Global. RedDoorz generates revenue through operating hotels and offering micro products like early check-in, paid loyalty programs, and insurance.
The company plans to expand into Malaysia and follows a multi-branding strategy with brands including Sans, Urban View, Sunnera, and Lavana.
To read the original article: https://www.techinasia.com/reddoorzs-revenue-jumps-60-venture-funding
