N 27 March 2013

Ostrovok online booking site raises $25 m

Ostrovok.ru, an online hotel booking serviced, has raised $25 m worth of investment, becoming the leading company in the travel segment in terms of outside funds.

General Catalyst Partners acted as the principle investor in Ostrovok's second round of investment. Funds also came from Frontier Ventures, Accel Partners and the entrepreneur Yuri Milner, among others, BFM.ru informs.

Ostrovok was founded in 2010 by two Russian businessmen whose previous experience included working for Google and Slide, and starting a few businesses of the own in the Silicone Valley. Last year, the site presented a mobile app for Android and iOS, as well as a special service allowing users to pay for hotels with cash rather then credit cards.

Ostrovok plans to use the raised funds for further development of both existing and new products, including hotel booking tools on partner platforms, the company's press service said. Ostrovok's API is already used by a few partners, including Trip Advisor, Aviasales, etc. The site's database now lists 135,000 hotels in 200 countries around the globe.

Other plans feature hiring additional customer support staff; and adding more hotels in Russia, the CIA and popular international destinations.