HomeAway Expands Asia Pacific Presence With Acquisition of Asian Vacation
Rental Start-Up, travelmob
AUSTIN, TX -- (Marketwired) -- 07/16/13 -- HomeAway, Inc. (NASDAQ:
AWAY), the world's leading online marketplace for vacation rentals,
has signed an agreement to acquire majority control of travelmob(TM),
an online start-up for vacation rental properties in Asia Pacific.
The all-cash transaction is expected to close in a few weeks and
following the closing, the travelmob management team will retain a 37
percent share of the business and continue to operate as an
independent brand from its Singapore headquarters. For the remainder
of fiscal 2013, HomeAway(R) expects to incur about $2.0 million in
additional expense to further grow the travelmob business. While the
price and terms of the deal have not been disclosed, HomeAway will
discuss this acquisition during its second quarter 2013 earnings
conference call on Thursday, July 25.
HomeAway has a previous relationship with travelmob through a
distribution partnership announced in March of this year. Built on a
transaction-based model, travelmob features over 14,000 Asia Pacific
short-term rental listings including luxury villas, urban apartments,
houseboats, a private island and even some shared spaces. Co-founded
in 2012 by Chief Executive Officer Turochas Fuad and Chief Technology
Officer Prashant Kirtane, the site and its 16-person-team supports 13
currencies and operates in Bahasa, Chinese, Japanese, Korean,
Russian, Thai, Vietnamese and English. Early investors of the
start-up include Jungle Ventures, Accel Partners and private
investors, including Dan Neary, vice president of Asia Pacific at
"Economists note over 100 million people will enter the Asian middle
class each of the next several years, and Asia will have an
increasing influence over the world's economic growth. We believe
this will have significant implications for not only travel but also
for the purchase of homes, both of which drive HomeAway's growth,"
says Brian Sharples, chief executive officer of HomeAway. "We view
Asia as a region where we can build tremendous incremental value for
our shareholders and existing customers over the next several years.
Given this opportunity, we're excited to work with the experienced
travelmob team to address today's market needs in Asia -- where
vacation rentals are mostly new, but alternative accommodations are
not -- to build scale and accelerate the development of the vacation
"We are excited to join HomeAway as the vacation rental industry
develops in Asia. We see an increasing trend of Asian travelers
expressing a preference for authentic experiences and the quality and
value afforded by our range of properties," says Fuad. "Our focus at
travelmob is to enable travelers to experience Asia like a local,
staying at the cool places throughout this vast region. In our first
year alone, our inventory has grown to more than 14,000 properties to
support this growing demand."
Since April 2011, HomeAway has steadily invested in its Asia Pacific
presence beginning with the purchase of the holiday rental business
from REA Group Limited and the subsequent launch of HomeAway.com.au.
Last year, HomeAway made a minority investment in China-based
vacation rental company, Tujia.com, in partnership with Ctrip.com
International (NASDAQ: CTRP), the leading online travel service
provider in China. The company also has distribution partnerships
with Wego.com and Tripvillas.com. Most recently, HomeAway opened a
sales office in Bangkok, Thailand in April of this year to serve the
growing inventory of private villas offered to the public as vacation
2013 Earnings Conference Call & Webcast Information
quarter 2013 HomeAway earnings conference call will take place on
Thursday, July 25, 2013 at 4:30 p.m. Eastern Time / 3:30 p.m. Central
Time. To participate in the call, investors should join ten minutes
prior to the scheduled start time. Callers in the United States and
Canada should join by dialing (877) 407-0784, passcode 416920.
Callers outside the United States and Canada should join by dialing
(201) 689-8560, passcode 416920. In addition, a live webcast of the
call will be accessible through the Investor Relations section of
HomeAway's website at http://investors.homeaway.com and will be
archived online for 60 days upon completion of the conference call.
Cautionary Statement Regarding Forward-looking Statements
This press release contains "forward-looking" statements, subject to
the safe harbor provisions of the Private Securities Litigation
Reform Act of 1995, which are based on HomeAway management's beliefs
and assumptions and on information currently available to management.
Forward-looking statements include information concerning HomeAway's
and travelmob's expected, possible or assumed future results of
operations and growth, the development of the vacation rental market
in Asia and the expected closing of the transaction.
Forward-looking statements include all statements that are not
historical facts and may be identified by terms such as "continues,"
"plans," "believes," "expects," "anticipates," "could," "look forward
to," or similar expressions and the negatives of those terms.
Forward-looking statements involve known and unknown risks,
uncertainties and other factors that may cause HomeAway's and
travelmob's actual results, performance or achievements to be
materially different from any future results, performance or
achievements expressed or implied by the forward-looking statements.
Factors that could cause or contribute to such differences include,
but are not limited to the following: (a) HomeAway's and/or
travelmob's inability to continue to attract and maintain a critical
mass of property listings and travelers, (b) HomeAway's inability to
effectively manage its growth, (c) the lack of or slow growth in the
vacation rental market in Asia (d) the impact of general economic
conditions and (e) such other risks and uncertainties described more
fully in documents filed with or furnished to the Securities and
Exchange Commission (the "SEC"). All information provided in this
press release is as of the date hereof and, except as required by
law, HomeAway assumes no obligation to update this information, even
if new information becomes available in the future.
HomeAway, Inc. (NASDAQ: AWAY), based in Austin, Texas, is the world's
leading online marketplace of vacation rentals, with sites
representing over 742,000 paid listings of vacation rental homes in
171 countries. HomeAway(R) offers an extensive selection of vacation
homes that provide travelers with memorable experiences and benefits,
especially more room to relax, for less than the cost of traditional
hotel accommodations. The company also makes it easy for vacation
rental owners and property managers to advertise their properties and
manage bookings online. The HomeAway portfolio of websites includes
HomeAway.com, VRBO.com and VacationRentals.com in the United States;
HomeAway.co.uk and OwnersDirect.co.uk in the United Kingdom;
HomeAway.de in Germany; Abritel.fr and Homelidays.com in France;
HomeAway.es, Toprural.com in Spain; AlugueTemporada.com.br in Brazil;
and HomeAway.com.au in Australia.
In addition, HomeAway operates BedandBreakfast.com, the most
comprehensive global site for finding bed-and-breakfast properties,
providing travelers with another source for unique lodging
alternatives to chain hotels. For more information about HomeAway,
please visit www.HomeAway.com.
travelmob is a growing social stay marketplace for vacation rental
accommodations in Asia, whose vision is to enable travelers around
the world to experience Asia like a local. Launched in 2012,
travelmob provides a secure platform for property owners and managers
in Asia Pacific to list unique accommodations and experiences, and
host global travelers seeking to experience true local hospitality
For more information about travelmob, please visit www.travelmob.com.
More news and updates on the company are also available on its Blog:
blog.travelmob.com, Twitter: twitter.com/travelmob and Facebook page:
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