Hospitality Technology

Reeco secures Dallas Venture Capital, targets 2,000-hotel growth in 24 months

Reeco expects to add more than 2,000 hotels in 24 months after Dallas Venture Capital joined as a strategic investor, with the founders charting AI's move from chat to transacting in hospitality procurement.

Reeco, an AI-powered procure-to-pay platform built for hotels, expects to add more than 2,000 properties over the next 24 months after closing Dallas Venture Capital (DVC) as a strategic investor.

The capital will go primarily toward scaling sales and onboarding rather than rebuilding the platform, cofounder and CTO Omri Shalev told Hotel Business. "There are a lot of opportunities for us, lots of great deals that are pending," he said. "Now, we need to start to deliver and execute."

What does DVC bring beyond capital?

Dallas Venture Capital, founded in 2012, invests in enterprise software companies in hospitality and adjacent sectors. The firm runs a DVC Advantage program designed to extend its network of hotel owners, management companies, operators and hospitality technology partners to portfolio companies.

Most of DVC's limited partners are hotel owners, management companies and wealthy individuals in the hospitality space. For Reeco, that structure mattered more than the check size.

"Hospitality is incredibly relationship-driven," Shalev said. "You can build great technology, but you still need the trust of the owners and management companies and the broader system that's going to make this space work. You can raise money from multiple sources, but raising money from the right partner is difficult. Dallas is a great fit for us."

Why did Reeco pick DVC over other investors?

Co-founder and CEO Henrik Shimony said the company was selective about who joined its cap table.

"When you raise money, you understand very fast that not all investors are the same," he said. "For us, it was never only about the money. We are lucky to be in a place where we can choose who we want next to us as we grow, and we chose Dallas Venture Capital because they truly understand hospitality. Through the DVC Advantage, they started opening doors for us even before they invested."

Dayakar Puskoor, founder and managing director of DVC, framed the deal as an established-platform investment rather than an early-stage bet.

"Reeco is already a platform of record in hospitality, solving a clear operational problem in a large and diverse market with a team that understands the industry deeply," Puskoor said. "Beyond capital, we look forward to accelerating Reeco's momentum through our network and the DVC Advantage."

How does Reeco fit a hotel's P&L?

Procure-to-pay platforms replace the manual chain of purchase orders, invoice matching and vendor reconciliation that drains operator labor and inflates food cost variance. Reeco connects purchasing workflow to inventory, occupancy and recipe data so a single system drives order timing and supplier selection.

The integration story matters because hospitality operators still run fragmented technology stacks, and many purchasing decisions sit outside the systems that track cost of goods sold.

Where does Shalev see hospitality AI heading?

Shalev mapped a three-year arc for hospitality AI adoption:

  • 2025: chat — operators ask the system questions
  • 2026: action — the system answers and triggers a workflow, such as building a pizza recipe from occupancy, inventory level and purchase history
  • 2027: transacting — the user sets a financial objective, such as reducing food cost, and the system engineers a menu around that target

"Hospitality remains stuck between the chat and action stages because operators' technology tools, in general, don't really communicate with each other very well," Shalev said.

Reeco has spent the past two years building partnerships with other vendors so operators' systems exchange data rather than operate as silos. The next test is whether that integration work converts into signed hotel contracts at the pace Shalev has now publicly committed to.

reecoprocure-to-payhospitality-aiventure-capitalhotel-procurement

More from Elena Vasquez

Elena Vasquez

Show full bio

News editor covering industry trends and analytics at The Pass Brief.

245 articles

Pairings

« Previous articleNext article »