The merger and acquisition frenzy in the travel industry continues apace, and Expedia's acquisition of the Auto Escape Group will enhance Expedia's global competition with the Priceline Group.
The travel industry’s merger and acquisition spree revved up a bit as Expedia Inc. agreed to acquire European car-rental reservation company Auto Escape Group from Montefiore Investment and Auto Escape Group’s management.
Auto Escape Group, which fields the Auto Escape and Car del Mar brands, and also provides negotiated rates and packages, will become part of the Hotwire Group’s CarRentals.com brand.
“We are excited to expand our CarRentals.com brand internationally so that we can provide our customers more choices across the globe and help our supply partners expand their marketing reach,” said Henrik Kjellberg, president of the Hotwire Group.
Terms of the acquisition, which is expected to close in the third quarter, were not disclosed.
With Europe as a prime battlefield, the acquisition will help Expedia’s CarRentals.com compete with the Priceline Group’s Rentalcars.com and others.
Auto Escape Group’s two brands offer 300 car rental suppliers in 125 countries, and will help expand the Hotwire Group’s car rental business, as well as vacation packages for Expedia Inc. brands.
Auto Escape Group employs 115 people out of its office in Hamburg, Germany, and Pertuis, France.
The acquisition follows major acquisitions, including OpenTable (Priceline Group), Trivago (Expedia Inc.), Kayak (Priceline Group), LaFourchette (TripAdvisor), and others since 2013.
Like TripAdvisor’s acquisition of French online dining reservations service LeFourchette, the fact that Expedia didn’t have to disclose the terms of the Auto Escape Group acquisition means it wasn’t on the scale of some of the larger acquisitions like Trivago, Kayak and OpenTable.
Subscribe to Skift Pro
Subscribe to Skift Pro to get unlimited access to stories like these ($30/month)Subscribe Now
Photo Credit: Expedia Inc. agreed to acquire European-based Auto Escape Group from a private equity fund. Auto Escape Group
How Expedia Is Breaking Down Its Siloed Brands Approach
Wow, CEO Expedia Peter Kern isn't afraid of saying what he thinks.
Sean O'Neill | 22 hours ago
How Far Will Google Take New Hotel and Environment Claims?
It's a nice step for Google to provide more information about hotels' sustainability practices in search results. But will the company have the guts to get "political," in the eyes of some, and push hotel listings higher or lower based on environmental practices?
Dennis Schaal | 1 day ago
Expedia Consolidates 3 Loyalty Programs With New Rewards for Vacation Rentals
With Marriott Bonvoy making loyalty inroads, and subscription programs having a moment, Expedia Group is consolidating its far-flung loyalty programs in a move that coincides with its strategy to simplify its operations.
Dennis Schaal | 2 days ago