Sabre to Sell lastminute.com to Bravofly Rumbo for $120 million
Online travel agency Bravofly Rumbo Group has made a binding offer to acquire the travel and leisure retailer lastminute.com from Sabre, a leading technology provider to the global travel and tourism industry.
The value of the potential transaction for Sabre is approximately US $120 million, resulting primarily from the transfer of commercial liabilities and additionally the value of an expanded long-term commercial agreement, in which Bravofly Rumbo Group’s brands and lastminute.com would continue to use the Sabre global distribution system. The transaction would not have a material effect on Bravofly Rumbo Group’s net cash position.
Under the terms of the offer, Bravofly Rumbo Group would acquire all of lastminute.com’s principal global operations located in the UK, France, Germany, Spain and Italy, reaching an expected combined Gross Travel Value of nearly 2.5 billion euros and revenues of 260 million euros.
In August, Sabre announced it was exploring strategic options for lastminute.com to support its strategy to increase focus and investment in its core technology businesses; Travel Network, Airline Solutions and Hospitality Solutions.
In an announcement, the chairman of Bravofly Rumbo Group, Fabio Cannavale, said lastminute.com is the perfect fit for the group.
“Its business complements and expands our offering in Europe and, with its strong presence in the hotel and vacation sector, diversifies our product revenue streams,” Mr. Cannavalesaid.
“We believe in the value and strength of lastminute.com’s iconic brand, which is recognized by more than 90 percent of European consumers.”
The potential acquisition is part of Bravofly Rumbo Group’s growth plans to select and integrate valuable assets, and would represent a significant step forward in the Group’s long-term strategy to help people get the best travel experience.
Acceptance of the offer is subject to the completion of employee information and consultation processes, following which closure would be expected to occur in Q1 2015.