GoodChoice raises 50 billion won and becomes a unicorn

GoodChoice's logo [GOODCHOICE]

GoodChoice, behind hotel booking application Yeogi Eottae, announced Thursday it raised 50 billion won ($39.3 million) from companies including Mirae Asset Capital.

KDB Capital and GS Retail also joined the funding.

The funding gives GoodChoice a corporate valuation of 1.2 trillion won and the so-called unicorn status, a title given to start-ups valued at over $1 billion, or around 1 trillion won.

GoodChoice explained that investors had high expectations that the company will benefit from lifted social distancing restrictions and Covid-19's transition into an endemic, raising demand for travel and leisure.

The company plans to use the investment to expand its business. Yeogi Eottae has been branching beyond just booking hotels, allowing users to rent cars on its application from November last year. From January, users have been able to book non-hotel venues such as filming studios, exhibition venues and dance practice rooms.

It also plans to expand to flight booking services, allowing users to book flights on its app starting May 3.

The company logged a net profit of 12.3 billion won in 2021, up 35.8 percent on year. Revenue rose 59.2 percent to 204.9 billion won.

BY LEE TAE-HEE [lee.taehee2@joongang.co.kr]