A rail ticketing app arrange by a pair of entrepreneurs pissed off by the dearth of legroom in standard-class carriages will this announce a multimillion pound fundraising backed by a syndicate of blue-chip buyers.
Sky News understands that Seatfrog, a privately owned rival to the London-listed firm Trainline, has secured £6m in new backing from shareholders together with Pembroke, a enterprise capital agency which has backed profitable UK corporations together with the style model Me + Em and Five Guys, the burger chain.
Octopus Ventures and Praetura are additionally taking part within the funding spherical, which is anticipated to be introduced publicly on Tuesday.
It was unclear at what valuation the brand new capital had been raised.
Seatfrog, which says it achieved income development of over 800% final yr, was launched in 2018 by chief government Iain Griffin and Dirk Stewart.
Its preliminary goal was to handle the 570m first-class seats stay empty on British rail journeys yearly.
Since launching, it claims to have saved passengers greater than £43m by serving to them to improve or change trains.
There has been persistent unhappiness for a few years amongst shoppers about the associated fee and complexity of British rail fares, with operators within the privatised business routinely accused of gouging passengers and providing poor reliability and repair.
Seatfrog says its expertise advantages shoppers, but in addition prepare operators by serving to them to develop revenues from higher-value seats.
It has struck partnerships with 16 prepare operators protecting greater than 3bn journeys throughout the UK and Europe yearly.
The firm’s most up-to-date alliance has been with the Italian operator Trenitalia.
“Our mission is to be the platform of choice for rail, helping people fall in love with taking the train again, and enabling operators to run more profitable networks full of happier, less stressed passengers – it’s long overdue,” Mr Griffin mentioned.
“With the launch of our Train Swap feature across the UK and our expansion into new European markets, we are unleashing a new platform that helps passengers get an unrivalled experience and operators run more efficient networks well beyond the capabilities of legacy technology.”
Fred Ursell, funding director at Pembroke Investment Managers, mentioned the dearth of innovation within the rail sector was among the many key components in British buyer dissatisfaction and hailed Seatfrog’s “disruptive business model, product market fit and large market combined with a world-class team”.
Rival app Trainline listed in London in 2019, having been owned by various non-public fairness companies.
It now has a market worth of near £1.2bn.
finnCap suggested Seatfrog on the funding spherical.
Content Source: information.sky.com