Skift Travel News Blog

Short stories and posts about the daily news happenings around the travel industry.

Business Travel

Medius Acquires Corporate Expense Management Startup Expensya

7 months ago

Expensya, the corporate expense management startup, has been acquired. 

The Tunisia-based company said Tuesday that the deal is now complete with buyer Medius, the New York-based provider of accounts payable automation software. 

Terms were not disclosed. 

Medius’s software primarily deals with invoices, processing, and payments. The Expensya software automates the processing of employee expenses. 

Medius said it completed the acquisition to give its clients a more complete set of services, and the deal also expands the buyer’s clients base into new regions.

Medius said it has more than 4,000 customers in 102 countries. Expensya has more than 6,000 clients in 100 countries, with a workforce of 200 employees. 

“Expensya’s AI capabilities, employee spend management solution, and payment cards, with Medius’s AP automation platform, means we can now cover the whole indirect spend of companies and can apply the power of AI to help finance teams to optimize cost and processes across the board,” said Karim Jouini, CEO of Expensya, in a statement. 

Expensya had raised a total of $25.6 million over four funding rounds, according to Crunchbase. The most recent raises were a $20 million series B round in 2021 and $4.5 million in 2018.

Business Travel

Navan Moves Beyond Its Own Smart Card in Link-Up With Visa and Mastercard

9 months ago

Navan, the corporate travel agency previously called TripActions, rolled out a feature that enables companies to retain the benefits of their Visa and Mastercard corporate cards and still gain access to Navan’s automated expense management features.

Source: Navan

The new patent-pending feature, Navan Connect, saves enterprise clients and smaller companies, if applicable, from having to transition away from their corporate cards and their benefits to access Navan’s expense management features, the company said. “With the swipe of an enrolled card, expenses are automatically checked against company policy, categorized, and reconciled,” Navan states.

Previously, clients had to use a Navan Card to gain access to these features, launched three years ago, and this may have been a roadblock to Navan signing up more enterprise accounts. 

“With Navan Connect, we’re expanding this convenience and efficiency to the corporate cardsthat our customers prefer, harmonizing personal choice with corporate needs,” said Navan co-founder and CEO Ariel Cohen in a statement. “It’s not just a product; it’s our pledge to simplify expense management while enhancing flexibility and control for businesses.”

Navan stated it intends to add other corporate cards to Navan Connect.

 

Business Travel

Companies Boost Spending on Flex Offices and AI, Cut Back on Travel

1 year ago

Company spending on co-working spaces is on the up, while business travel is declining, according to corporate card and expense firm Ramp.

The clear winner is WeWork, but the report also pinpoints OpenAI, the maker of popular generative artificial intelligence (AI) chatbot ChatGPT, as another fast-growing budget winner.

The latest Spending Benchmarks report from Ramp, which has tracked patterns over the last quarter of 2022, covers $10 billion of aggregate annual spend across 13,000 of its customers.

Company travel and expense spend as a percentage of total transaction volume declined from October to December. The report also said in December that as a category, travel and expense, as well as lodging, both declined on the previous month — the first time they’ve done so in six months.

T and E spending
Ramp 2022 Q4 Spending Benchmarks

This could be due to companies tightening their belts due to economic uncertainty, but also because of mass layoffs in the tech sector.

Office spending jumped 5.7 percent in the last three months of the year, making it the fifth-fastest growing bucket of spend among top categories.

“The post-pandemic office is increasingly a co-working space,” said the report.

Spending with WeWork increased 90.7 percent in 2022, and consistently ranked as the second-largest office vendor throughout the year, behind Microsoft Store, it added.

Ramp Office spending
Ramp 2022 Q4 Spending Benchmarks

“Businesses aren’t hiring, but offices are still making a comeback as organizations look for ways to drive employee productivity,” the report said.

Artificial intelligence also rears its head. “We predict hiring will remain muted in tech-oriented industries that are focused on enhancing profitability metrics,” said the report. “It will pick up in labor-intensive industries that are addressing supply chain issues and demand. Spending with AI research companies like OpenAI will grow as companies invest in tools that can help lean teams achieve more.”

Spending on OpenAI rocketed in December, and it’s likely that steep trajectory will continue as more sectors begin experimenting in the technology.

Spending on AI
Ramp 2022 Q4 Spending Benchmarks

WeWork reports its fourth-quarter results on Thursday. 

Business Travel

TripActions Secures $400 Million in Credit Facilities

1 year ago

Corporate travel agency TripActions this week secured $400 million in credit facilities from Goldman Sachs and Silicon Valley Bank, which it said it will use to “accelerate the expansion of its customer base.”

The credit facilities consist of a warehouse debt facility from Goldman Sachs Bank USA, as the senior lender and administrative agent, with a $200 million commitment ($300M total program limit) and an asset-backed lending facility of $100 million led by Silicon Valley Bank.

TripActions said the warehouse facility will enable the continued growth of its corporate card and expense management solution, TripActions Liquid. “With this new warehouse facility from Goldman Sachs, TripActions Liquid is well positioned to support its customers while continuing to innovate at a rapid pace,” said executive vice president Michael Sindicich, head of TripActions Liquid, in a statement.

The corporate travel agency’s latest financial dealings follow October’s raising of more than $300 million. That involved a combination of $154 million in equity from new and existing financial investors, plus a $150 million structured capital transaction led by Coatue.

The company also last month bought Spain’s Atlanta Events & Corporate Travel Consultants, its fourth acquisition in 18 months.

Meanwhile, there’s still no news on a potential initial public offering to further fund the business.

Travel Technology

SAP Concur on Track to Reach Pre-Pandemic Levels by Next Year

1 year ago

SAP, the parent company of the Concur suite of tools for managing travel expenses, said on Tuesday the company’s unit was recovering after the pandemic shock.

“Concur is actually recovering very nicely,” said Luka Mucic, chief financial officer for the German software giant. “They are only representing this quarter a 1 percent drag on the growth [in SAP’s Cloud Choice Profit (CCP) unit of cloud businesses].”

“Actually on the transactional revenue side, they are already showing very high growth in the high double digits,” Mucic said. “So that business will definitely exceed its pre-pandemic state next year, as we had projected.”

SAP cited increased use of Concur by existing clients. For example, Pennsylvania State University in the U.S. has used SAP Concur Solutions for over 15 years. But in the third quarter, it expanded its partnership because of increased student, faculty, and administrator travel.

“Our intelligence spend and business network is benefiting from a return to business travel combined with the increased focus on managing costs with cloud revenue growth in the mid-teens,” said Christian Klein, CEO of SAP.

As Skift recently reported, SAP Concur Travel is getting its first overhaul in more than 15 years. Earlier this week G2, a leading software rating service, named Concur as a market leader in its reviews-based ranking for travel expense management.

Business Travel

Corporate Lodging Platform HRS Buys Expense Startup PayPense

2 years ago

Corporate hotel booking platform HRS has bought PayPense, as it pushes further into expense management.

Terms of the deal, announced on Thursday, weren’t disclosed, but the acquisition follows its purchase of billing company Itelya in 2021.

Staff at Germany’s PayPense will officially become HRS Pay employees when the acquisition formally closes in August.

Interestingly, HRS now describes itself as a “global corporate travel and payment technology platform.” HRS, which stands for Hotel Reservation Service, said buying PayPense enhances its “growing compilation of efficient corporate payment offerings.”

PayPense is used by companies to let employees use digital payment technology to pay for all work-related purchases. That helps ensure compliance to budgets while also capturing relevant data for auditing, steering and even sustainability metrics, the company said. Using supplier and localized data, PayPense can capture carbon emissions of individual expenses.

“With the full integration of PayPense, our complete end-to-end spend management platform provides unmatched visibility of level-3 data, multi-category invoice digitization, and superior VAT reclaim automation — all available globally via any payment provider,” said said Kurt Knackstedt, chief growth officer at HRS Pay.