KDS secures EUR11M venture capital
KDS has attracted EUR 11M (USD13M) in venture financing from international investors Accel Partners and Atlas Venture. The funds will be used to accelerate the company’s international expansion and to cement further its position as the provider of choice in corporate travel.
“Both the substantial value of this round of financing and the quality of the investors represent a source of immense satisfaction for KDS”, said Yves Weisselberger, CEO of KDS “This financing comes at a time when the corporate travel self-booking market is booming. It will allow KDS to further leverage its technological and market leadership by growing its presence in all major countries”.
“The travel market is undergoing significant business and technological change. With the European online travel solutions market expected to increase 6-fold in the next three years, there is a clear opportunity for KDS to secure a pre-eminent position as the trusted provider of solutions to its customers and partners,” added Harry Nelis from Accel Partners.
Some large corporations use KDS services to book more than 90% of their trips online. By doing so, they make sure they get the best fares available and benefit from the reduced online transaction prices now offered by most Travel Management Companies.
In 2005, KDS tripled their bookings during the first months of the year versus the same period in 2004. The company is also signing twice as many contracts as last year and has a high proportion of recurring revenues.
SAGAX (Greenwich, Connecticut), an investment company and financial adviser to KDS, also participated in the round. As a result of the transaction, Harry Nelis of Accel and Fred Destin of Atlas Venture will be joining the Board of KDS.