Skift Take

December is officially this year's top month for the highest total amount of travel startup funding thanks to two mega rounds for ride-hailing startups but the verdict is still out about the venture capital situation for the full year.

Some travel startups are ending 2016 on a high note — financially speaking — and have collectively raised more than $680 million in funding so far in December alone.

More than $450 million (66 percent) of that funding came from two mega rounds for ride-hailing startups, including $100 million for Gett and Dubai-based Careem’s $350 million Series D round this week. Careem’s latest round was led by new investors Rakuten and Saudi Telecom Company and several existing investors participated including Abraaj Group, Lumia Capital, and Wamda Capital bringing startup’s total funding to $421.7 million.

Careem is a private car booking mobile app and is also tied to Etihad’s loyalty program. The company launched in Dubai in 2012 and has since expanded to 47 cities across the Middle East, North Africa and Asia and claims to have six million users.

Ground transportation startups have raised more than $460 million in the past six months, not including any Uber, Lyft, or Grab rounds, for example, which would put the total funding since June for this sector in the billions of dollars. Careem’s round is one of the largest and most other rounds were for smaller car rental and ride-hailing startups for $10 million or less.

Each week we roundup the latest crop of travel startups that have received or announced funding that week. You can check out all our previous startup funding roundups here.


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Tags: funding, vcroundup

Photo credit: Careem, a ride-hailing startup based in Dubai, raised a $350 million Series D round this week, one of the largest rounds for a ride-hailing startup this year. Careem

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