Online travel operator Travcorp Holdings has raised £3.7 million in equity funding.
The Chester-headquartered company specialises in packaged holidays and hotels via its consumer brands Destination2.co.uk and HolidayGems.co.uk.
The two brands service a diverse holiday market, from premium, long-haul holidays to destinations such as Barbados, Dubai and the Maldives, to low-cost, short-haul packages to locations, including the Canary Islands, Balearics, Turkey and Greece.
The backing, led by growth capital investor BGF, will be supported by a significant co-investment by Travcorp’s management team.
It will enable the business to continue to invest heavily in technology, marketing and new destinations as it gears up for the expected resurgence in travel in the months ahead.
The investment will also support Travcorp’s recruitment plans, with more than 30 new recruits planned in the next 12 months including a chief technology officer and head of digital marketing.
Andrew Shapin has been appointed to the board as non-executive director, bringing significant expertise in direct-to-consumer digital brands from his tenures as the founder of The Cotswold Company and as CEO of Long Tall Sally.
Andrew Botterill, executive chairman of Travcorp, said: “The travel industry has been severely impacted by the pandemic placing considerable pressure on businesses in the sector, but we have remained very resilient in what has obviously been extremely tough trading conditions.
“Our immediate focus was on supporting our team and customers amid this disruption and then we were able to take stock of our plans for the business and re-energise our future growth strategy.
“This allowed us to look at new areas for expansion, such as the cruise market, where we have been delighted by the customer and supplier response since we launched our new proposition in May.
“We have put the customer at the heart of our growth strategy, and we are now operating an escrow trust account, which will provide additional protection for consumers and confidence that their money is protected when they book a holiday with Destination2 and Holiday Gems.
“Recent trading has been strong against 2019 numbers, which was our record year, and we are seeing a significant rise in bookings as holiday-makers are able to enjoy and plan trips again with the new simplified travel system, particularly in key corridors such as Dubai, Maldives and the Caribbean.
“With BGF’s support as a long-term investor, we believe we will be perfectly placed to capitalise on pent-up demand and accelerate our expected growth for the rest of 2021 and beyond.”