Argentina based online travel agency Despegar has acquired Viajaneta competitor based in Brazil for $ 15 million.
This marks the third acquisition of a Brazilian-based company for Despegar, which operates as Decolar in the Brazilian market.
In August 2020, it bought Koin, a Brazilian online payment platform, and earlier this year acquired a 51% stake in Stays, a Brazil-based provider of holiday property management solutions.
“The acquisition of Viajanet, our third in two years in Brazil, is another step in our regional consolidation strategy, which will allow us to expand more of Despegar’s air margins with a higher margin through a new brand and its customer base.” while strengthening our team in the country, ”said Marcelo Greter, Despegar’s head of mergers and acquisitions and new business director.
“We expect to capture other significant synergies by using Despegar’s technology platform to improve Viajanet’s conversion rates and marketing capabilities, among other benefits.”
In 2019, Viajanet’s revenue is about $ 30 million. In 2021, the company’s online sales account for about 98% of total sales, with 88% of gross bookings coming through its B2C channel and the rest as B2B.
Despegar also notes the possibility of cross-selling its accommodation and other non-air products to existing Viajanet customers – as 98% of Viajanet’s bookings are for airline tickets.
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“Becoming part of Despegar will give our customers access to a larger and more diverse range of travel products, while taking advantage of the innovative technological capabilities behind the leading travel site,” said Paulo Nascimento, CEO of Viajanet .
In March, Despegar reported its latest financial results with adjusted EBITDA of $ 9 million in the fourth quarter of 2021, an increase of 9% compared to the fourth quarter of 2019 despite gross provisions of only 75% of the level for this quarter. The company operates in 20 countries in Latin America.
The acquisition of Viajanet is expected to be completed in the second quarter of this year.