Hostel chain Tribe Theory recently announced that it has raised $3.5million from venture Capitalist Tim Draper. The international entrepreneur-focused hostel chain, Tribe Theory was founded in Singapore by Vikram Bharati.
The company entered the Indian market after the acquisition of Construkt Startup Hostels founded by Shashikiran Rao and Karan Bahadur.
With the recent fundraising, the existing hostel chain will rebrand to Draper Startup House or DSH, an expansion of Tim Draper’s global brands like Draper Venture Network, Draper Associates and Draper University.
In a media statement, founder Bharati said, “Tim and his team immediately understood our vision and made an offer to invest in us and work with us to build out this concept globally under the brand Draper Startup House. This was the differentiator we were seeking.”
He further added, “This rebrand will put us on the course of building what we had set out to – hospitality as the foundation of an entrepreneurship ecosystem. It will propel our mission much further because we are now part of a larger ecosystem.”
The company which already operates in eight international locations has plans to expand into other international markets with the help of these funds. The two Bengaluru hostels will be rebranded as DSH. The company is also seeking to open its first US location in Austin by March this year.
According to the transaction, the company will form an international division of the business and DSH will operate the US business activities overseeing its minority stake in the partnership.
Draper Startup House was founded by Katie Russel and Daniel Wiegand, aims to support 1mn entrepreneurs by the end of the decade.
Talking about DSH, Tim Draper said, “Draper Startup House provides global live/workspaces for entrepreneurs where they can connect, be inspired, and build a community.” He added that his companies are guiding their invested companies toward free markets and other basic freedoms, religion, assembly, and speech.
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