The Montréal-based travel tech startup Busbud has announced that it has acquired the Chilean intercity bus marketplace Recorrido to support its Latin American expansion plans. The Canadian firm has also raised $11M in equity funding in a round led by Wind Ventures, the corporate venture capital arm of Chilean energy firm COPEC.
Recorrido is an online bus ticket search and booking platform that is reinventing long-distance bus travel to provide smart and affordable mobility for everyone in Latin America. Operating on a B2B2C model, the company offers a platform where travelers can compare bus tickets in a convenient and transparent way.
Busbud co-founder and CEO LP Maurice said that the company was attracted to Recorrido’s team, which is joining the startup’s staff as part of the acquisition. In Latin America, there are more bus than train connections available for traveling, and Busbud sees a chance to grow its presence in the market. Brian Walsh, head of Wind Ventures, explained that bus travel is important to the region’s way of life, but it is still an underserved market.
The bus marketplace Recorrido will keep its brand alive, and both companies will support each other in improving their technology, since the Chilean company has established a strong local platform, and Busbud has constructed a global platform. The Canadian company caters primarily to international tourists, and Recorrido is focused on local users.
On the other hand, Maurice expressed Busbud’s expectations on Wind Ventures to provide support in their Latin American operations:
“We think that they can add a lot of value for us and open a lot of doors, both commercially and also strategically, in the [Latin American] region.”