With More Than 2M Downloads, HotelTonight Raises Another $23M From US Venture Partners

Last-minute hotel booking startup HotelTonight just announced that it raised a $23 million Series C round led by U.S. Venture Partners (USVP). The financing includes existing investors Accel Partners, Battery Ventures, and First Round Capital. In addition to the funding, HotelTongiht will be adding USVP general partner Rick Lewis to its board of directors.

HotelTonight has rolled out a number of mobile apps for iPhone, iPad, and Android, which allow users to find low-priced, last-minute hotel accommodations on the fly. That lets hotels sell unsold inventory, and gives users cheap options at high-quality locations in more than 40 cities in the U.S. It’s gained some decent user traction for its free-to-download apps, with 2 million downloads to date.

The startup is growing quickly, and says it will use the funding to help expand its team as it moves beyond its home U.S. market. In April, HotelTonight added accomodations in its first two international cities, Toronto and Vancouver, and it plans to add more Canadian cities later this year.

Last November, HotelTonight raised $13 million in a round led by Battery Ventures and Accel Partners. Today’s funding brings total financing up to just under $36 million.