19 Nov 2023
South African proptech startup Neighbourgood has announced the acquisition of Local Knowledge, a Cape Town-based traveltech startup, in a cash and equity deal worth $1.5 million. The acquisition is expected to significantly enhance Neighbourgood's ability to provide travelers with authentic and personalized experiences in the cities it operates.
"This acquisition is not just about merging two companies and teams," said Murray Clark, CEO of Neighbourgood. "It's about combining our complementary strengths to redefine the way people experience cities. We're committed to creating a future where travel is not just about ticking off destinations but about building meaningful connections with local communities and creating lasting memories."
Local Knowledge brings to Neighbourgood a wealth of experience in serving over 30,000 millennial and Gen Z travelers. The company's technology and team will be instrumental in building Experience Vertical, a new division dedicated to crafting unforgettable experiences for NeighbourGood guests.
"We're excited to join forces with Neighbourgood and leverage our shared vision to create a more authentic and immersive travel experience," said [CEO of Local Knowledge]. "Together, we can provide travelers with a deeper understanding of the cities they visit while also fostering positive connections with local communities."
The acquisition comes at a time when South Africa's tourism industry is poised for significant growth. The country is targeting 21 million visitors by 2035, according to Tshifhiwa Tshivhengwa, TBCSA CEO. Last year, South Africa saw 5.8 million inbound international tourists.
Neighbourgood plans to expand its offering beyond Cape Town to California next year. The company is also developing a user-friendly app that will offer personalized suggestions and exclusive insights into a city's happenings.