Private equity firm CVC Capital Partners has bought Etraveli, a Swedish online travel agency, for €508 million from German media company ProSiebenSat 1.
Etraveli, which is based in Uppsala, Sweden, is a global e-commerce platform for flight tickets such as Gotogate, Seat24 and Supersaver. The company operates in 46 countries on five continents and carries out over €2 billion in transactions a year through its proprietary technology platform.
It has grown by about 40% a year since 2014 and now has substantial market share in major European markets such as the UK, Germany and France.
Following its acquisition by CVC, which was made from CVC’s Fund VI, Etraveli aims to become the largest online travel agency in Europe.
The acquisition represents a significant return for ProSiebenSat 1, which paid €235 million for the business in 2015.
Lorne Somerville, Partner and Head of TMT at CVC, said: "The online travel sector is dynamic and fast-growing, and Etraveli is a clear front-runner due to its data-driven approach and highly scalable business model. We look forward to bringing the sector and wider CVC network together with Etraveli’s excellent management team to transform the company into a truly global platform."
Gustaf Martin-Löf, Managing Director in CVC's Nordics team, said: "Etraveli's sophisticated e-commerce approach and excellent customer offering have made it a leader in the Nordic and the European online travel agency space. Mathias and his team are widely recognised as one of the best teams in the travel industry, and we are excited to support them in their vision of growing Etraveli both organically and through strategic acquisitions."
Mathias Hedlund, CEO of Etraveli, added: "We are delighted to be partnering with CVC Capital Partners for the next chapter in our growth story. Their sector expertise, knowledge of the local market and international network will be invaluable to us as we look to expand our offering to more geographies."