TripActions Inc., a startup with a cloud platform that companies use to manage business travel and employee expenses, has secured $400 million in debt financing.
The enterprise announced today the new financing. Most of the funding was provided by Goldman Sachs in the form of a warehouse debt facility worth up to $300 million. In addition, the company secured a $100 million asset-backed credit facility from Silicon Valley Bank.
The debt funding comes a few weeks after TripActions behaved a $304 Series G funding round. The round raised the startup’s valuation from $7.5 billion to $9.2 billion. It used to be reported in September that it plans to go public next year.
“TripActions is at the forefront of transforming business travel and expense management with its innovative model and solutions,” said Bob Blee, Head of US Technology Corporate Banking at Silicon Valley Bank. “Their continued growth is a testament to the strength of their platform and the value they bring to their customers.”
Based in Palo Alto, California, TripActions provides a cloud platform that companies use to organize business trips for employees. The startup’s platform also offers expense management tools, as well as a range of corporate cards called Liquid.
It allows companies to book airline tickets, accommodation and ground transportation for employees through a cloud-based interface. The startup offers access to discounts that it negotiates in advance on behalf of clients. In addition, the company offers travel services such as travel planning.
TripActions offers its core business travel features along with a suite of expense management tools. According to the startup, its tools automate several of the tasks associated with approving and reimbursing employee expenses. It also allows companies to issue company cards to employees.
The corporate cards, which it offers under the Liquid brand, enable a company’s employees to make self-service work-related purchases. Liquid cards can be configured to automatically approve shared expenses. According to TripActions, the built-in automation features save finance teams time by reducing the need to manually approve purchases.
TripActions announced today that it will use its newly raised debt financing to support customer acquisition initiatives. It claims a customer base of more than 8,000 organizations including Box Inc., Snowflake Inc. and other big tech companies.
The company’s growth efforts will place a particular focus on expanding the rollout of its Liquid line of corporate cards. According to TripActions, the value of purchases made with Liquid cards increased more than 500% year over year in the third quarter.
It is also possible that part of the newly raised financing will be used for acquisitions. The startup has acquired four travel management companies in the past two years to grow its travel services business. It closed its most recent acquisition, the purchase of Spain-based Atlanta Agencia de Viajes, SA, in November.
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