Vancouver-based hospitality software startup Operto has entered into an agreement to acquire Dack, a Los Angeles, Calif.-based proptech, for an undisclosed amount.
The acquisition will mark Operto’s third in as many years, having acquired two other vacation rental software companies, Leavenworth, Wash.-based VRScheduler and Spanish company STAYmyway in 2021 and 2022, respectively. Operto said the integration with Dack will deliver a unified platform that manages every aspect of the guest journey, from booking to checkout, under one roof.
Operto’s executive chairman is former Booking.com CEO Darren Huston.
Operto told BetaKit the transaction is anticipated to close Jan. 12, 2024.
Founded in 2016, Operto’s platform offers property managers, such as hotel and short-term rental owners, automation and Internet of Things (IoT) integrations to digitize guest experiences such as guest verification, digital check-ins, and automated task management.
Dack, founded in 2018, provides similar offerings with its platform, allowing property operators to provide guests with digital access, contactless check-in and checkout, and guest verification. Operto CEO Steve Davis told BetaKit that Dack’s “advanced guest-facing app” was arguably 12 to 24 months ahead of Operto’s own technology, making it an attractive acquisition target.
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[Dack]’s integration into Operto is poised to significantly elevate our platform, focusing on enhancing guest experience, optimizing guest flow, and maximizing upsell opportunities,” Davis said. “With the infusion of [Dack’s] additional skilled engineers, we are set to create the deepest and most powerful guest experience app in the industry.”Operto’s acquisitions are supported by the combined $37 million USD ($49.4 million CAD) it received across two funding rounds. In January 2022, Operto secured a $15.3 million CAD ($12 million USD) Series A round after the accommodations market “moved so significantly” following the easing of COVID-19 pandemic-related restrictions, Davis told BetaKit at the time.
Operto followed that up with a $34.4 million CAD ($25 million USD) Series B in March 2023, prompting Davis to tell BetaKit that the company is positioning itself to be “Vancouver’s next unicorn.”
Both funding rounds featured participation from Seattle, Wash.-based Fuse Venture Capital and BlackPines Capital Partners, the latter of which is led by former Booking.com CEO and Operto’s current executive chairman, Darren Huston.
Operto is breaking into a new year after an eventual 2023 for proptech companies. Digital mortgage lender Pine acquired the struggling Properly in October, not too long before fractional real estate investment platform Willow.ca was purchased and integrated into Montréal-based rental platform Guiker.
UPDATE (01/11/24): This story has been updated to include details and commentary shared by Operto CEO Steve Davis.
Feature image courtesy Operto.
