The Dutch technology investor Prosus NV, also the majority shareholder of Romania’s largest online retailer eMAG, is set to buy the online travel agency Despegar.com Corp, focused on Latin America, for approximately USD 1.7 billion. The purchase consideration will be funded from existing cash resources, the company said.

Founded in Argentina in 1999, Despegar is one of Latin America's largest online travel platforms. It operates in over 19 Latin American markets, serving customers through two primary business models: an omnichannel B2C platform that connects with users via the web, mobile app, and conversational channels powered by the company’s AI assistant, Sofia; and a rapidly expanding B2B segment that offers white-label solutions to partners such as banks, airlines, and retailers.

According to the Prosus press release, Despegar handles over 9.5 million transactions annually, generating USD 5.3 billion in gross bookings, USD 706 million in revenue, and delivering a reported EBITDA of USD 116 million based on its full-year 2023 results.

Prosus, which is in turn majority-owned by the South African company Naspers, stated that it will pay USD 19.50 per share for Despegar, representing a premium of approximately 33% over the last closing price. The transaction is to be completed in the second quarter of 2025.

Prosus plans to create synergies between Despegar and its other regional businesses, such as the food delivery platform iFood and the event platform Sympla, according to Ziarul Financiar.

E-commerce is one of the main investment areas for Prosus, a company listed in the Amsterdam stock exchange. Its portfolio includes the food delivery company Delivery Hero, the ads platform OLX in Romania, educational software companies such as SkillSoft and Stack Overflow, and online payment processing companies like PayU, active in Romania.

radu@romania-insider.com

(Photo source: Kantver | Dreamstime.com)