Several travel management companies recently have inked
deals to expand their ability to serve global markets, with some making direct
equity investments in local players and others going the partnership route.
Australia-based Flight Centre Travel has acquired 3Mundi, a TMC
operating in France and Switzerland, in a deal valued at a reported 170 million
euros. Flight Centre has owned a 25 percent stake in 3Mundi since
2017, and the new deal brings 3Mundi entirely under Flight Centre's
corporate umbrella.
The 3Mundi acquisition follows Flight Centre's purchase of Casto
Travel's U.S. business early this year, in a bid to significantly
expand the company's presence in the U.S. market.
Meanwhile, BCD Travel has signed an agreement to take a
majority ownership share in the company's Japanese partner, Hitachi Travel
Bureau. With more than 280 employees and offices in Japan and China, Hitachi has
annual sales of more than US$330 million, according to the company.
BCD has partnered with Hitachi since 2011 to serve its
operations in the Asia/Pacific market. The move to acquire a controlling stake in
the company was "a reflection of our commitment to Asia/Pacific,” said
Greg O’Neil, president of Asia/Pacific for BCD.
Under terms of the acquisition pact, current Hitachi
president Kazuhiko Otani will remain at the helm as president and managing director
for BCD in Japan, responsible for leading BCD’s growth strategy in the market.
The Partnership Route
In another Asia/Pacific deal, international TMC Reed & Mackay has partnered
with Connexus Travel in a bid to extend its reach across greater China. The
largest TMC in Hong Kong, Connexus has branch offices in China and Taiwan, a
region Reed & Mackay CEO Fred Stratford called "critically important
to our client base."
The companies already work together to service
"many" shared clients in the region, added Connexus managing director
Gloria Slethaug.
Finally, Malaysia's Star Travel has joined International
Travel Partnership, a travel management consortium designed to give local
independent travel companies access to efficiencies of scale and a worldwide
service infrastructure.
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