GERMANY: limehome, a leading technology-based provider and operator of serviced apartments, has closed a funding round of 45 million euros in new growth capital.
AW Rostamani Group and Capital Four are investing in the Munich-based start-up for the first time.
Current investors HV Capital, Picus Capital and Lakestar are also renewing their investment in the funding round.
limehome is already present in more than 100 locations in seven countries and its digital business model has enabled it to continue to grow dynamically in both business and leisure segments during the pandemic crisis, tripling turnover every year. Market expansion in additional European countries is imminent.
Cesar de Sousa Freitas, managing director of limehome said: “Our two new investors appreciate the combination of high growth and a highly profitable existing business. We are delighted with their confidence in our vision and feel confirmed that we are on the right track to develop limehome into a highly profitable technology-based operator of design serviced apartments”.
For more than a year, occupancy rates across limehome’s portfolio have been around 90 per cent with high profitability across all locations. During the pandemic months, limehome achieved a similarly high occupancy rate, exceeding average market levels multiple times.
The Munich-based company intends to use the additional capital primarily for expansion. In addition to further organic growth, part of the capital will also fund acquisitions of existing operators, where limehome has been able to achieve significant performance increases in the past. limehome will also further enhance scalability and high service levels through further development of its proprietary technology platform.
Josef Vollmayr, co-founder and managing director of limehome added: “The last few years have shown that our fully equipped design serviced apartments with a digital customer journey and consistent quality are very popular in both the leisure and business segments. With the support of our investors, we will continue to develop our concept and bring it to new markets”.
Fabian Gruner, Principal at HV Capital said: “We invested in limehome’s innovative business model at an early stage. We see this confirmed by the company’s exceptional development. We are convinced that limehome will continue to expand its leading position as a technology-based operator in Europe through its clear concept and strong implementation.”
limehome automates all the conventional processes of a hotel’s operation from pricing to booking, check-in, cleaning, customer service and invoicing. The digitalised guest journey gives higher efficiency in operation and space utilisation also allowing smaller locations to be operated profitably; locations which are not economically attractive for conventional hotel concepts.
Since its founding in 2018, the Munich-based start-up has expanded into more than 100 locations and has more than 3,000 apartments under contract in seven countries.
In 2020 it increased its Series A funding round to 31 million Euros.
