Taiwan’s Travel Superapp KKday Receives $70 Million Investment To Fund Asia Expansion

Taipei-based KKday, which operates a travel superapp, said Thursday it has received about $70 million from investors to fund its expansion in Asia through mergers and acquisitions and invest in artificial intelligence.

The investment, which is a mix of equity and credit facility, saw participation from investors including government-backed funds Cool Japan Fund and Taiwan’s National Development Fund, KKday said in a statement. Other investors include Chang Hwa Bank Venture Capital, the investment arm of Taiwan’s Chang Hwa Bank, and Darwin Ventures, a local venture capital firm whose portfolio companies count Ephod Technology, which made the Forbes Asia 100 to Watch list last year. KKday declined to disclose its valuation.

KKday said it will use the capital for M&A deals in Asia to increase its market share, and to invest in AI. “This funding round is a testament to the trust our investors place in KKday’s vision and our ability to revolutionize travel experience for millions of travelers seeking new and unique experiences,” said Ming Chen, cofounder and CEO of KKday, in the statement.

Its earlier investors include Alibaba Entrepreneurs Fund; MindWorks, an early backer of Hong Kong billionaire Chow Shing Yuk’s delivery giant Lalamove; Line Ventures, the venture capital arm of Japanese messaging app operator Line; and TGVest Capital, a Taipei-based private equity firm whose investments include Appier (one of Taiwan’s first startups to hit unicorn status).

Founded in 2014, KKday is one of the go-to apps for travel and leisure activities in Asia, offering everything from flight and hotel bookings to attraction ticket and SIM card purchases. The company said in the statement it “is achieving all-time highs in monthly gross merchandise volume,” thanks to a strong rebound in domestic and international travel demand.

KKday has been focusing on expanding in Japan, where its weak yen helped lead to a record-high arrival of 3.3 million international visitors in October, according to data from the Japan National Tourism Organization. The startup has partnered with Jalan, one of Japan’s largest accommodation booking platforms, to allow its users access to nearly 10,000 hotels in the country. It has also teamed up with Japan’s popular restaurant review platform Tabelog so that its users can make reservations at over 42,000 eateries.

KKday is going head to head with Hong Kong-based unicorn Klook, which offers a similar travel superapp. Last December, Klook said it has secured $210 million in a funding round led by Bessemer Venture Partners, with participation from billionaire Jean Salata’s EQT Private Capital Asia and Atinum Investment, a backer of Korean billionaire Seo Jung-jin’s biopharmaceutical company Celltrion.

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