Reflecting increased economic confidence, merger and acquisition activity is on the rise in the travel technology sector, with Sabre making an unsolicited £606 million ($1.1 billion) bid for the UK's lastminute.com, which markets flights and travel packages in Europe.
The seven-year-old web firm, seen as a target since Cendant bought lastminute.com's fellow UK firm Ebookers last year, would become part of Sabre's Travelocity unit, filling a gap in its overseas presence. Sabre says the lastminute.com transaction will make Travelocity the leading European online travel agent, as well as providing a diverse mix of content, allowing the US firm to continue to expand its offerings to consumers beyond just air travel. Sabre, Travelocity and lastminute.com will all increase their global reach through the deal, Sabre says.
Lastminute.com has strong positions in the UK, France, Germany, Italy, Scandinavia and Spain. The online portal had 7 million customers and total transactions worth £992 billion in the year to September 2004.
Source: Airline Business
