Hotelbeds Group is strengthening its position in the global B2B accommodation area by taking over US-based Tourico Holidays.
The deal, for an undisclosed sum, will see Tourico Holidays merge with Hotelbeds’ bedbank business unit
Tourico Holidays will continue to operate as an independent company while a long term strategy is developed to find the most appropriate way to combine the businesses, according to Hotelbeds.
The deal has been achieved with the backing of owners Cinvin and Canada Pension Plan Investment Board, which last year acquired Palma-based Hotelbeds from Tui for more than €1 billion.
Hotelbeds executive chairman, Joan Vilà, said: “With the backing of Cinven and CPPIB we are entering the next phase of our development since becoming an independent company back in September.
“Therefore it gives me great pleasure to announce that Tourico Holidays will join Hotelbeds Group.
“Tourico Holidays has a well-deserved reputation for excellence and innovation that I have respected for many years. I look forward to working with its experienced leadership team.
“The proposed deal will enable us to enhance our footprint, especially in Tourico Holidays’ home market of North America whilst they will benefit from belonging to Hotelbeds Group ́s global network.
“Together we will combine our best in class technology and distribution expertise for the benefit of both our hotel partners and clients.”
Tourico Holidays’ chief executive, Uri Argov, added: “We ́re very excited about what this deal can mean to the B2B travel industry.
“Tourico Holidays’ management team looks forward to bringing together these two great businesses in order to better serve our combined supplier and client base.
“At a cultural level, this deal is strong because our two organisations are both entrepreneurial, dynamic and high energy – and just like Hotelbeds Group, we ́re passionate about what we do and focus hard on execution.”