Spotahome, a start-up based in Madrid that allows you to view and book online accommodation in the medium and long term, made its first acquisition after raising 13.6 million euros in funding in series A last year.
The company "Proptech" has acquired the international student community Erasmusu, an initiative that will see Spotahome add more than 70,000 additional properties to its rental inventory and access what co-founder and CEO Alejandro Artacho tells me "the biggest network of Erasmus students in Europe ".
The terms of the agreement are not disclosed, although I understand that the purchase price is "several million" euros (update: a source l & # 39; awards 2 million euros, another 6 million euros) and was a mix of money and stock. Notably, Erasmusu, which was launched by its founders as a side project eight years ago before becoming a leader in space, had not increased VC support and was largely underway. In this sense, he remained ripe for picking.
Erasmusu currently claims 2 million hits per month (of which 80% are organic), 2.5 times more per year and has half a million active students looking for accommodation and, most importantly, write content for the site. This is in addition to the achievements of lean Erasmusu startups that Artacho says Spotahome can learn. In many ways, the two startups were also competitors.
Spotahome aims to solve the problem of finding a home in the medium and long term online, including refusing in-person viewing for the tenant. The key to this is the insistence of the startup to ensure that all accommodations are controlled in person by Spotahome team members. These "home checkers" visit each property to create accompanying audiovisual material and to check the list.
And while Erasas began to focus on building an online community for Erasmus students, covering various aspects of international student life, he quickly found that finding a home was the most important thing. One of his most active subjects. This led the Spanish company to add classified ads for rentals, before moving to a transactional model in 2015, which opposed it to other rental marketplaces, including Spotahome, much younger
Now that the acquisition is over, Spotahome has already started supplying the Erasmusu rental component, even though both sites and teams will remain independent. It is thus that Spotahome undergoes the painstaking process of creating audio-visual material (or what could be called virtual tours) for all the accommodations listed on Erasmusu. In other words, bring the Spotahome experience to find a place to live to Erasmus students.
In return, Spotahome not only surpasses its inventory of properties, but also the countries and cities in which it is currently active. The newly created Spotahome Group – which points to other acquisitions in the not-too-distant future – now offers more than 115,000 apartments, homes, rooms and student residences in 450 cities across 65 countries. Artacho says that the database also has a much wider user base with 0.5 million active users and 3 million hits per month, while the new combined entity employs more than 235 people.