August 26, 2016
Expedia launches guides for travelers seeking city history
Expedia.co.uk today announces the imminent release of City History, an interactive guide that details historical facts about major holiday destinations.Read more
A big move in the OTA world: Priceline just agreed to buy Kayak for $1.8 billion in a cash-and-stock deal. Kayak will continue to operate independently and will benefit from this partnership in its plans to expand internationally as well as getting deeper into the hotel business.
Major deal points:
– Priceline is offering $40 per share of Kayak, which is about 30 percent premium on today’s share value of around $30 a share. This values the company at about $1.8 billion, with about $500 million in cash and $1.3 billion in equity and assumed stock options.
– Both boards have approved the deal, but shareholder approval required, expected to close by Q1, 2013.
– Kayak to remain a separate brand, with same management.
– As of November 8, 2012, Kayak’s directors and officers owned 70.4%, of its Class A and Class B common stock, which represents 77.9% voting power, which means shareholder resistance to the deal unlikely.
– In a separate SEC filing, Kayak mentioned that it has extended its Google deal till Oct 2014. This is not for Google’s ITA airline search software, but for the marketing services deal, though it is material enough to Kayak’s earnings.
– Kayak’s stint as a public company wil be short, assuming this deal comes through. It went public on July 20 this year, and just announced its first ever earnings as a public company.
Get the full story at Skift, Tnooz, and Marketwatch
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