Australian travel distribution company Helloworld Travel Ltd. said Sept. 24 that it agreed to acquire TravelEdge for A$28 million.
TravelEdge is a privately owned corporate travel management company that offers corporate travel services such as travel management solutions, academic travel services, and event and group planning.
The company, which is also based in Australia, generated over A$300 million of total transaction value, or TTV, in its travel management business in fiscal 2019.
Helloworld will finance the acquisition from a new bank credit facility. The company said the transaction is not considered material and will be earnings accretive in fiscal 2020 and beyond.
Following the acquisition of TravelEdge, Helloworld expects its annual TTV in its trans-Tasman corporate travel management service to hit A$1.55 billion in fiscal 2020.
"In addition, our Helloworld Business Travel network of corporate agencies in Australia and New Zealand has TTV of over A$850 million, taking the total corporate business in our wholly owned operations and our business network members in Australia and New Zealand to over A$2.4 billion in FY20," Helloworld CEO and Managing Director Andrew Burnes said.
