AAA H2O Hospitality drinks in $30m series C

H2O Hospitality drinks in $30m series C

Kakao Investment, a corporate venturing subsidiary of internet group Kakao, has led a $30m series C round for Japan-based automated accommodation provider H2O Hospitality, TechCrunch reported today.

The round also drew in capital from Kejora-Intervest Growth Fund, Korea Development Bank, Gorilla Private Equity, Intervest and Nice Investment.

H2O was founded in 2015 as WaHome, a South Korea-based cleaning service provider, before rebranding to H2O in 2017 following a series of acquisitions in the Japanese hospitality management sector.

The company now manages a chain of unmanned hotels in which the frontend and backend processes are automated. It also operates a property management system used by hotel managers to handle customer relationships and bookings.

H2O runs about 7,500 accommodation properties across Japan, South Korea and Thailand.

The business will invest the series C funding in research and development activities for customer channel solutions and contactless check-in systems.

Samsung Ventures, a corporate venturing unit for consumer electronics manufacturer Samsung, joined Stonebridge Ventures, IMM Investment and Shinhan Capital in a $7m series B round for H2O in February 2020.

VC firm 500 Startups led a $1.5m seed round in 2016, following a $1m seed round the year before backed by Sparklabs Global Ventures, Mashup Angels, Fast Track Asia and individual investors Gabriel Fong and Bae Yong-Joon.