Hannover-based travel and tourism company TUI Group will sell Travelopia to private equity firm KKR & Co. for 381 million euros ($403.7 million).
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Travelopia operates in the specialist travel sector, with a portfolio of more than 50 independently operated brands for sailing adventures, safaris, sports tours and Arctic expeditions. The company was managed as an independent business since the merger of TUI AG and TUI Travel Plc in 2014. In the fiscal year 2015-16, Travelopia generated sales of 1.171 billion euros and an adjusted EBITDA of 50 million euros.
In September 2016, TUI sold Hotelbeds Group for 1.19 billion euros.
TUI said it will use the proceeds from the sale of Travelopia to invest in the further expansion of the growth segments of hotels and cruises.
The transaction is subject to the approval of the necessary regulatory bodies.
Fritz Joussen, chairman of the TUI board, said: "The sale of Travelopia is the next strategic step in further sharpening TUI's profile. We consistently orient ourselves as a vertically integrated tourism group. The negotiation result for the sale of Travelopia is good for the Group and for the shareholders. We have ambitious targets for the next few years, we want to start with the TUI brand in new regions of the world. A clear focus supports this course."
For KKR, which earlier in December 2013 purchased a 49.9 percent stake in Spanish entertainment resort PortAventura and later in train ticket seller Trainline, the acquisition follows its investments in high-growth travel businesses.
"KKR has a longstanding and successful track record with corporate carve-outs, in particular in Europe," KKR said in a press release.
