The Hyoosik, an IT-based comprehensive hospitality solutions company, announced that it has secured KRW 20 billion in Series B+ funding from TS Scaleup Proptech Fund. This investment brings The Hyoosik's total investment to KRW 42.8 billion. Major investors in the fund include leading domestic financial conglomerates, asset management firms, and family offices.
The Rest has established a unique position in the hospitality market with its "Full-Stack" business model, which internalizes the entire core value chain, including hotel PM, construction, operations, and IT solutions.
Currently, The Rest operates a cumulative 248 small and medium-sized hotels and tourist hotels, the largest number in Korea. In particular, the company is establishing a foundation for strategic collaborations with global hotel brands to target the two- to three-star tourist hotel market. Through this expansion strategy, it is rapidly penetrating the KRW 30 trillion hospitality market.
The Rest's unrivaled competitiveness stems from its innovative IT automation technology and data. Leveraging AI-powered IT automation technology, combined with the vast national hotel operation data it has accumulated since its founding, the company has pioneered a contactless lodging operation model that minimizes the number of front-desk staff, leading the market's digital transformation. Furthermore, utilizing AI-powered Hotel Valuation Model (HVM) and Expected Sales Analysis System (ESAS), the company has secured a leading position in the hotel PM business. Furthermore, through its AI Consulting System (AICS), the company has successfully established a data solutions business, creating new revenue streams.
Last year (2024), the company achieved consolidated sales of KRW 95.3 billion and operating profit of KRW 10.5 billion, and this year, it expects its key financial indicators to more than double compared to last year. The Husik plans to use this investment to expand its unmanned central control solution (Front Outsourcing, or FO) business, accelerate expansion into two- and three-star tourist hotels through collaborations with asset management companies, and accelerate its entry into the global market.
Dae-yeol Lee, the head fund manager of TS Scale-Up Prop Tech Fund, which executed this investment, explained the investment background, saying, “The Korean hospitality market, including hotels, is expected to continue growing in the future. To achieve economies of scale and scale up, especially in the midscale hotel market, it is essential to establish differentiated strategies tailored to the individual characteristics of each property. To achieve this, we believe that planning and strategy based on data, as well as operational efficiency through IT solutions, are paramount, rather than the simple operations that have been practiced in the market so far. The existence of a trustworthy company capable of such operations is essential for the continued growth of the market.” He continued, “Through this TS Scale-Up Prop Tech Fund, we will support the business advancement of The Husik, a leader in the midscale hotel market, while also structuring the fund’s major investors with financial investors capable of strategic collaboration, thereby working together to achieve our long-term vision.”
He also said, “The Rest Hotel plans to raise additional funds to enable meaningful expansion in the midscale and larger hotel markets.”
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