Online travel giant Expedia said it will acquire Brisbane, Australia based OTA Wotif.com Holdings in a deal worth around US$658 million.
The purchase includes all Wotif Group travel brands in the Asia-Pacific region including wotif.com, lastminute.com.au, travel.com.au, Asia Web Direct and LateStays.com.
Wotif brands focus mainly on hotel and flight bookings and offers about 29,000 properties in worldwide destinations.
"Wotif Group is well positioned in the Asia-Pacific region with a portfolio of leading travel brands," said Expedia CEO Dara Khosrowshahi.
"It will add to our collection of trusted travel brands and enhance our Asia-Pacific supply."
Expedia’s proposed A$3.30 ($3.09) is a 30% premium on the average trading price over the last week and the Wotif board has recommended shareholders accept the offer.
Wotif shares jumped 25% in early trading, following the announcement.
Founders Graeme Wood and Andrew Bice, who have a combined 35.5% stake in the company, have agreed to sell their shares to Expedia.
Wotif chairman Dick McIlwain said he believes it is the best way to maximise shareholder value "after having carefully assessed the changing dynamics of the markets and the uncertainties and risks that we would face if we were to continue as an independent company."
