Spotahome, a Madrid-primarily based startup that permits you to view and book mid to long-term accommodation on-line, has made its first acquisition after raising €13.6 million in sequence A funding late remaining year.
The ‘proptech’ business has acquired international scholar community Erasmusu, a movement to be able to see Spotahome add as much as 70,000+ greater residences to its rental stock and benefit entry to what co-founder and CEO Alejandro Artacho tells me is “the biggest network of Erasmus students in Europe”.
phrases of the deal remain undisclosed, though I take into account the purchase expense is “a couple of million” Euros (replace: one supply pegs it at €2 million) and turned into a mixture of cash and stock. specifically, Erasmusu, which became begun by way of its founders as a facet task eight years ago earlier than fitting a frontrunner within the space, hadn’t raised VC backing and has been largely bootstrapped. In that feel, it remained ripe for the deciding upon.
Erasmusu presently claims 2 million visits per thirty days (of which I’m advised eighty p.c is biological), is growing to be 2.5x yr over yr, and has half 1,000,000 lively students who are looking for homes and, crucially, writing content for the web page. It’s this community building point, besides Erasmusu’s lean startup achievements, that Artacho says Spotahome can be trained from. in many facets, both startups had been opponents, too.
Spotahome aims to resolve the issue of a way to find mid to long-term lodging online, including negating in-person viewing for the tenant. Key to this is the startup’s insistence that all lodging is vetted in-grownup by using participants of the Spotahome group. These “domestic checkers” seek advice from each property to create accompanying audio-visual cloth and to investigate the record.
And whilst Erasmusu began out concentrated on constructing an online community for Erasmus college students, covering numerous features of international scholar lifestyles, it rapidly discovered that discovering lodging changed into one in all its most energetic subject matters. This led the Spanish company so as to add categorized ads for leases, earlier than evolving right into a transactional model in 2015 — pitting it in opposition t different condominium marketplaces, including the much younger Spotahome.
Now that the acquisition has closed, Spotahome has already begun to vigour the rentals element of Erasmusu, besides the fact that children both sites and teams will remain unbiased. here’s seeing Spotahome undergo the somewhat labour intensive process of growing audio-visible cloth (or what can be called virtual tours) for all of the lodging listed on Erasmusu. In different words, bringing the Spotahome journey of discovering a spot to live to Erasmus college students.
In return, Spotahome supercharges no longer simplest its inventory of houses, but also the countries and cities it is now energetic in. The newly-shaped Spotahome group — which points to extra acquisitions in the not-so-far away future — now presents greater than a hundred and fifteen,000 residences, residences, rooms and student residences in 450 cities across 65 international locations. Artacho says the startup additionally has a a great deal broader user base now with 0.5m active users and 3m visits per 30 days, while the new combined entity employs over 235 staff.
Fundings & Exits – TechCrunch