$9 billion travel tech firm Navan on track to hit profitability this year and ‘not far’ from IPO, CEO says
TripActions CEO Ariel Cohen
TripActions
The boss of travel and expense management platform Navan told CNBC he’s preparing the company to get its business into shape for an eventual initial public offering this year, in another sign leaders of privately-held startups are getting more optimistic about their prospects in the public markets.
Asked about when Navan would choose to go public, the firm’s CEO and co-founder Ariel Cohen said the company is close to reaching that milestone. “We can see the signals,” he said, adding that Navan has been adjusting its leadership structure and making changes to its board in a signal of maturity.
Last month saw Navan announce the return of Rich Liu, formerly Navan’s chief revenue officer and “an expert on scaling companies from seed to IPO and beyond,” to the business as CEO of Navan Travel, the company’s travel division.
Amy Butte, the former chief financial officer of the New York Stock Exchange who oversaw the U.S. exchange operator’s transition to a public company in 2006, was also appointed to Navan’s board of directors as audit committee chair.
“I don’t want to give a date,” Cohen told CNBC, adding that he’s not even told his own family a date for when he expects Navan to go public — let alone his board and Navan employees. “At the end of the day, there are things that are out of my control.”
“The market can collapse. There are elections in the U.S. There are wars. So I never actually promise things to people if I don’t know that the delivery is in my control,” he added.
While Cohen wouldn’t commit to a date for Navan’s eventual IPO, he said the business was “not far” from being ready for a stock market listing. The company is on track to become cash-flow positive and achieve profitability for the first time this year, he said.
“The timing will need to include several things,” he said. “Today, in this market, to be public, you need to be profitable. We are not far from that, but we are not there. We’re going to be there this year. And it’s not easy to do it while you’re growing fast.”
Cohen said he’s also keeping a wary eye on the market — but added that although, previously, investors would have seen a company like his as dependent on buoyant market sentiment surrounding technology, today he sees the firm as “mature enough” to go public independent of the market backdrop.
Navan is now growing revenues by around 40% on average, according to Cohen, with the company’s fintech business seeing faster growth (100%) than its travel business (30%).
Founded in 2015 as TripActions, Navan began life as a travel management platform for businesses, seeking to provide a smoother experience to travel agents and incumbent players like American Express, BCD Travel, and SAP Concur. The company counts the likes of Unilever and Christie’s as clients.
The firm subsequently expanded into expensing and payments with solutions for automating linking credit cards to a single platform and automating expenses.
Navan is backed by major investors including Andreessen Horowitz, Coatue, Goldman Sachs, and Lightspeed. Navan has raised more than $1.5 billion in venture funding to date and was last valued at $9.2 billion. It competes with Spanish startup TravelPerk, which was most recently valued at $1.4 billion.
Navan introduced a big evolution of that product last year with the arrival of Navan Connect, a new expensing product.
Most corporate card startups, like Brex and Ramp, offer users their own branded corporate smart cards. But Navan’s Connect feature, which it’s rolled out in partnership with Citi, lets businesses offer automated expense management and reconciliation without having to change corporate card provider.
Like other tech firms, Navan has been making a big investment into artificial intelligence. The company rolled out its own AI personal assistant, called Ava, last year. The tool uses generative AI to help travelers, travel admins, and finance managers make travel plans and budget effectively.
Ava — which stands for automated virtual assistant — now processes around 150,000 monthly chats, more than 35% of which are managed to completion as of April 2024, according to Navan.
Cohen said Navan is planning to roll out an even more personalized version of Ava’s AI assistant, which can generate travel plans for someone based on their past behavior, to even greater accuracy in six months’ time.
Navan was named on the 2024 edition of CNBC’s Disruptor 50 list.
Jaap Arriens | Nurphoto | Getty Images
The Supreme Court on Friday upheld the law requiring China-based ByteDance to divest its ownership of TikTok by Sunday or face an effective ban of the popular social video app in the U.S.
ByteDance has so far refused to sell TikTok, meaning many U.S. users could lose access to the app this weekend. The app may still work for those who already have TikTok on their phones, although ByteDance has also threatened to shut the app down.
In a unanimous decision, the Supreme Court sided with the Biden administration, upholding the Protecting Americans from Foreign Adversary Controlled Applications Act, which President Joe Biden signed in April.
“There is no doubt that, for more than 170 million Americans, TikTok offers a distinctive and expansive outlet for expression, means of engagement, and source of community,” the Supreme Court’s opinion said. “But Congress has determined that divestiture is necessary to address its well-supported national security concerns regarding TikTok’s data collection practices and relationship with a foreign adversary.”
Supreme Court Justices Sonia Sotomayor and Neil Gorsuch wrote concurrences.
TikTok’s fate in the U.S. now lies in the hands of President-elect Donald Trump, who originally favored a TikTok ban during his first administration, but has since flip-flopped on the matter. In December, Trump asked the Supreme Court to pause the law’s implementation and allow his administration “the opportunity to pursue a political resolution of the questions at issue in the case.”
In a post on his social media app Truth Social, Trump wrote that the decision was expected “and everyone must respect it.”
“My decision on TikTok will be made in the not too distant future, but I must have time to review the situation. Stay tuned!” Trump wrote.
Trump began to speak more favorably of TikTok after he met in February with billionaire Republican megadonor Jeff Yass. Yass is a major ByteDance investor who also owns a stake in the owner of Truth Social.
Trump will be inaugurated Monday, one day after the TikTok deadline for a sale. TikTok CEO Shou Chew is one of several tech leaders expected to be in attendance, seated on the dais.
In a video posted on TikTok, Chew thanked Trump “for his commitment to work with us to find a solution that keeps TikTok available” in the U.S. He said use of TikTok is a First Amendment right, adding that over 7 million American businesses use it to make money and find customers.
“Rest assured, we will do everything in our power to ensure our platform thrives as your online home for limitless creativity and discovery as well as a source of inspiration and joy for years to come,” he said.
The nation’s highest court said in the opinion that while “data collection and analysis is a common practice in this digital age,” the sheer size of TikTok and its “susceptibility to foreign adversary control, together with the vast swaths of sensitive data the platform collects” poses a national security concern.
Under the terms of the law, third-party internet service providers such as Apple and Google will be penalized for supporting a ByteDance-owned TikTok after the Jan. 19 deadline.
If service providers and app store owners comply, consumers will be unable to install the necessary updates that make the app functional.
Representatives of TikTok did not immediately respond to requests for comment.
Users look for alternatives
White House press secretary Karine Jean-Pierre reiterated Biden’s support for the law in a statement, saying “TikTok should remain available to Americans, but simply under American ownership or other ownership that addresses the national security concerns identified by Congress in developing this law.”
“Given the sheer fact of timing, this Administration recognizes that actions to implement the law simply must fall to the next Administration, which takes office on Monday,” Pierre said.
Attorney General Merrick Garland and Lisa Monaco, his deputy, said in a release that the decision “enables the Justice Department to prevent the Chinese government from weaponizing TikTok to undermine America’s national security.”
Kate Ruane, the director of the Center for Democracy and Technology nonprofit, criticized the ruling, saying in a statement that it “harms the free expression of hundreds of millions of TikTok users in this country and around the world.”
In December, members of the House Select Committee on the Chinese Communist Party sent letters to Apple CEO Tim Cook and Google CEO Sundar Pichai, urging the executives to begin preparing to comply with the law.
Shou Zi Chew, CEO of TikTok, speaks to reporters outside the office of Sen. John Fetterman (D-PA) at the Russell Senate Office Building on March 14, 2024 in Washington, DC.
Anna Moneymaker | Getty Images
On Jan. 10, the Supreme Court heard oral arguments from lawyers representing TikTok, content creators and the U.S. government. TikTok’s lead lawyer, Noel Francisco, argued that the law violates the First Amendment rights of the app’s 170 million American users. U.S. Solicitor General Elizabeth Prelogar argued that the app’s alleged ties to the Chinese government pose a national security threat.
Many TikTok creators have been telling their fans to find them on competing social platforms such as Google’s YouTube and Meta’s Facebook and Instagram, CNBC reported. Additionally, Instagram leaders scheduled meetings after the Jan. 10 Supreme Court hearing to direct workers to prepare for a wave of users if the court upholds the law.
Chinese social media app and TikTok look-alike RedNote rose to the top of Apple’s app store Monday, indicating that TikTok’s millions of users were seeking alternatives.
The Chinese government also weighed a contingency plan that would have X owner Elon Musk acquire TikTok’s U.S. operations as part of several options intended to keep the app from its effective ban in the U.S., Bloomberg News reported Monday.
Should ByteDance decide to sell TikTok to a U.S. company or group of investors, potential buyers may have to pay between $40 billion and $50 billion, according to an estimate by CFRA Research Senior Vice President Angelo Zino.
WATCH: SCOTUS hears TikTok ban case
Jakub Porzycki | Nurphoto | Getty Images
Bitcoin rejoined the crypto rally on Friday amid reports that President-elect Donald Trump could release an executive order making crypto a national priority as soon as day 1 of his new term.
The price of the flagship cryptocurrency was last higher by more than 2% at $103,174.90, according to Coin Metrics. The broader crypto market, as measured by the CoinDesk 20 index, was up another 1%, after a 4% increase Thursday.
Shares of exchange operators Coinbase and Robinhood advanced about 5% each. Trading activity in small cap cryptocurrencies benefits trading platforms. Appetite for smaller cap, higher risk coins has grown ahead of Trump’s inauguration, with litecoin surging 26% in the past two days.
The moves follow a Bloomberg report late Thursday that Trump could create the crypto advisory council he previously promised, giving the industry a voice within his administration. A bitcoin stockpile is part of discussions about a possible executive order that would cover several areas of crypto policy, the New York Times reported the same day.
Bitcoin trades above $100,000 ahead of Trump’s inauguration
Coins and crypto projects outside of bitcoin arguably stand to gain more from clear and supportive policy and regulation as they’ve been more of a target of SEC lawsuits and alleged banking discrimination under the Biden administration. Some investors say bitcoin could see a rocket ship rally, however, if a national stockpile or reserve is established.
Bitcoin has been trading closely with stocks so far this year. It’s been in consolidation mode since late December, when Federal Reserve chair Jerome Powell sounded an inflation alarm that subsided this week after two cool December inflation reports. Bitcoin ETFs have seen more than $1 billion in inflows in the past two days.
Investors expect any announcements from the incoming administration next week to send bitcoin higher – potentially to a new record. Heightened expectations come after warnings from Wall Street this month that although having a pro-crypto Congress and White House in 2025 is sure to be supportive for innovation in the industry and asset class, it could take a while before the market feels the impact.
“The new administration and a new SEC chairman opens the door for new opportunity in cryptocurrency innovation,” JPMorgan analyst Kenneth Worthington said in a note this week. However, he added, “we don’t see a next wave of cryptocurrency [exchange-traded product] launches as being meaningful for the crypto ecosystem given much smaller market capitalization of other tokens and far lower investor interest.”
Bitcoin’s record is $108,327.01, from Dec. 17. It’s up 9% in 2025.
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