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In the Mumbai-based venture capital fund's fifth investment in less than three months, Matrix Partners has put $10 million as the sole investor in the first institutional round of funding of Siesta Hospitality Services Limited. 

 

Ashok Chattaraj-promoted Siesta Hospitality provides transit apartments for corporate accommodation and is currently managing over 500 rooms in 14 cities and claims that its clientele include some of India’s leading corporations. 

 

With the completion of this financing, Rishi Navani, Co–founder & Managing Director of Matrix India, will join the board of Siesta Hospitality Services. Anup Gupta, previously Managing Director and Board Member, Unilever International, will also join the board of the company, said a statement.

 

The serviced apartment segment has seen traction earlier too from the VC quarters. Helion Ventures had, in 2008, invested $4 million in HummingBird Suites Pvt Ltd, a Bangalore-based serviced apartment operator. In fact, there were reports that private equity major Blackstone bid around Rs 230-240 crore to buy out southern realty major Prestige Group’s serviced apartment business, early this year.

 

"Siesta Hospitality has an innovative business model to address the hospitality needs of corporations. We have been impressed by the passion and ambition to build a large business demonstrated by Ashok Chattaraj.” said Rishi Navani, Co–founder & Managing Director, Matrix India.

 

Less than a week ago, Matrix announced an investment of Rs 20 crore in Ver se  Innovation Private Limited, a mobile classifieds service firm.  Matrix India announced three investments including Rs 20-crore funding in Quikr India, Rs 100-crore investment in test preparation firm FIITJEE followed by Rs 50-crore fund-raising of its portfolio company Itz Cash last week.