Backpacker hostel chain The Hosteller has raised Rs 150 crore (approximately $16 million) in a Series B funding round co-led by PROMAFT Partners and V3 Ventures, along with participation from ITI Growth Opportunities Fund, Merisis Wealth Trust, and prominent family offices.

The Mumbai-based company had previously secured $5.7 million in a Series A funding round led by existing investor V3 Ventures, in a mix of debt and equity infusion, in November 2024, and $1 million in a pre-Series A round led by FAO Ventures in November 2021.

The fresh capital will be deployed towards accelerating its expansion across key travel destinations, while further strengthening operational efficiencies and brand building, The Hosteller said in a press release.

The Hosteller claims that it operates more than 75 properties across 13 states and has hosted over 20 lakh unique travellers. Over the past 12 months, the company has added over 30 properties and grown traveller capacity by nearly 70%.The company is targeting 25,000 beds nationwide within the next 36 months and is preparing to launch a travel super app integrating accommodation, F&B, mobility, and curated experiences into a single platform.It competes with goSTOPS, Wudstay, and Backpackers Panda, among others

About The Hosteller

The Hosteller has been Founded in 2014 by Pranav Dangi. The Hosteller provides affordable, standardized, and experiential accommodation for young travelers, digital nomads, and explorers. The company offers a network of more than 55–65 locations, including dorms, private rooms, and cafes, focusing on community-driven travel experiences.