Travel technology group Sabre is braced for a big hit on its 2005 investment in UK travel website lastminute.com, when it sells the business to Swiss travel firm Bravofly Rumbo Group.
The binding deal values lastminute.com at $120 million, about a tenth of the price Sabre paid for it in 2005.
Sabre had been trying to offload lastminute for several months as it plans to focus on its core technology B2B businesses.
The agreement is for all lastminute.com’s operations in the UK, France, Germany, Spain and Italy.
It would continue to use the Sabre global distribution system.
"We believe in the value and strength of lastminute.com’s iconic brand, which is recognized by more than 90% of European consumers," Bravofly chairman Fabio Cannavale said in a statement.
"Its business complements and expands our offering in Europe and, with its strong presence in the hotel and vacation sector, diversifies our product revenue streams."
Bravofly Rumbo owns several travel brands including Volagratis, JetCost, Crocierissime, Viaggiare and Viajar.
In the late 1990’s, lastminute.com became the poster child of the dotcom bubble in the UK, with companies such as Starwood Hotels, priceline.com and Sony Music Entertainment investing in the startup.
