- German broadcaster acquires Sweden's Etraveli using cash
- Purchase is company's biggest international e-commerce deal
ProSiebenSat.1 Media SE bought Etraveli Holding AB in a deal valuing the Swedish online travel agency at about 235 million euros ($267 million) as the German broadcaster expands its digital operations.
ProSiebenSat.1 acquired Etraveli from private-equity investor Segulah IV LP, the broadcaster, based near Munich, said Monday in a statement. The deal is the largest international e-commerce investment for ProSiebenSat.1 so far as the company seeks to grow beyond its TV business. ProSiebenSat.1 used cash to pay for the purchase, Marcus Prosch, a spokesman, said by phone.
The broadcaster, which regularly uses TV advertising to promote its brands, seeks to introduce a German Etraveli offering to complement its online travel business which includes websites weg.de and billiger-mietwagen.de. The company is accelerating its push into Internet, investing in London-based soccer website 90min.com and U.S. virtual-reality startup Jaunt Inc. in the past weeks.
Etraveli, which operates in 40 countries, provides airline tickets, hotel accommodation and car rentals under websites including Seat24, Supersaver and Travelstart. Its sales topped 640 million kronor ($78 million) last year and revenue rose 34 percent in the first six months of 2015. Etraveli is profitable, Prosch said, without elaborating.
Shares of ProSiebenSat.1 advanced 1.1 percent to 45.48 euros at 9:39 a.m. in Frankfurt. They’ve gained 30 percent this year.
The transaction is subject to approval from competition authorities. Arma Partners LLP acted as financial adviser to Etraveli and Segulah.