The travel tech industry is experiencing a wave of consolidation, with at least 15 acquisitions involving travel tech companies in the last two and a half months alone. Investment bank AGC Partners predicts that merger and acquisition activity will continue to rise, with an improved funding environment and tech private equity firms with around $300 billion to deploy. Many of the recent acquisitions have undisclosed sale prices, indicating that they may be smaller deals, especially in cases where startups are acquiring other companies. Venture capitalists are now favoring companies with strong business models post-pandemic, leading to the closure of startups with weak models.
Several key players have made significant acquisitions in the travel tech industry. Amadeus acquired Vision Box and Voxel to expand its biometrics and payment services. Paris-based Travelsoft acquired several tech companies and a travel trade publisher. Tel Aviv-based Guesty acquired Rentals United to enhance its distribution services. DerbySoft expanded into the airline industry through the acquisition of Pkfare. These acquisitions show a strategic focus on growth and expansion within the travel tech sector.
Mews, a cloud-based property management system, made its ninth acquisition by acquiring HS3 Hotelsoftware, a German-based property management system. This acquisition significantly expanded Mews’ reach in the DACH region and added over 3,500 clients to its portfolio. SITA, a tech provider for the air travel industry, acquired Materna IPS, a passenger check-in software company. This acquisition aims to improve the passenger journey experience in anticipation of increased air traffic by 2040. Holidu, a vacation rental booking site, acquired Clubrural to expand its offerings in Spain and Portugal.
The Access Group, a UK-based company providing operations software for hotels, acquired SHR, a hotel and casino tech company. This acquisition will allow The Access Group to service larger hotel groups and meet more complex needs in the hospitality sector. Navan Group’s subsidiary Reed & Mackay acquired Regent International, a corporate travel and event management business based in Italy. This acquisition expanded Reed & Mackay’s client base in various industries. Additionally, three ground transport software startups, Travelier, BuuPass, and Busbud, made acquisitions to strengthen their offerings and expand their reach globally.
365 Retail Markets, a provider of retail tech, entered the hotel sector by acquiring Impulsify, a company that provides software and kiosks for self-service stores in hotels. This acquisition marks a strategic move by 365 Retail Markets to expand into new markets within the hospitality sector. Overall, the travel tech industry is experiencing a period of growth and consolidation, with companies strategically acquiring others to enhance their services, expand their reach, and meet the evolving needs of travelers and businesses within the industry.
