DESP Despegar.com Corp

Despegar.com, a leading Latin American travel technology company, has entered a strategic partnership with HBX Group, a B2B travel technology marketplace. This collaboration aims to expand Despegar's service offerings by integrating HBX Group’s European and North American non-air inventory, providing Despegar's customers with a broader range of accommodations and travel solutions. The agreement includes an advance payment from HBX Group to Despegar and booking targets over approximately eight and a half years.

Prosus has successfully completed its acquisition of Despegar (DESP) for $19.50 per share, a transaction approved by Despegar's board, shareholders, and all necessary regulatory bodies. Wall Street analysts forecast an average target price of $20.88 for DESP, implying a 7.05% upside from the acquisition price, though GuruFocus estimates a 39.33% downside based on its GF Value of $11.83. The average brokerage recommendation for DESP is currently "Hold" at 2.8.

Despegar, a leading Latin American travel technology company, has announced a strategic partnership with HBX Group, a B2B travel technology marketplace. This collaboration will integrate HBX Group’s European and North American non-air inventory into Despegar’s platform, expanding its service offerings for both B2C and B2B customers. The partnership aims to enhance travel packages and lodging options, providing travelers with wider access to diverse accommodations and travel solutions.

Bruchou & Funes de Rioja acted as Argentine legal counsel to Prosus in its US$1.7 billion acquisition of Despegar.com, Corp., a leading Latin American travel technology company. The transaction is expected to close in Q2 2025, pending shareholder and regulatory approvals. Prosus, a global technology company, will provide Despegar with significant resources, operational expertise, and advanced AI capabilities.

Despegar.com announced strong financial results for 2Q24, with Adjusted EBITDA up 22% YoY and revenues increasing 12% YoY, leading to a raised FY24 Adjusted EBITDA guidance. The company's profitable growth was driven by improved operational efficiencies, higher-margin Travel Package sales, and strategic B2B and White Label alliances, despite foreign exchange headwinds. Despegar also streamlined its business by divesting its Destination Management Company, BDexperience, to World2Meet.

Prosus NV, the majority shareholder of Romanian online retailer eMAG, is set to acquire the Latin-American online travel agency Despegar.com Corp for approximately USD 1.7 billion. Despegar, founded in Argentina in 1999, operates in over 19 Latin American markets and generated USD 5.3 billion in gross bookings in 2023. Prosus plans to integrate Despegar into its e-commerce portfolio, creating synergies with existing regional businesses.