The international technology company Prosus announced the signing of a definitive agreement to acquire Despegar, the leading digital travel agency of Argentine origin in Latin America, at a price of $19.50 per share (totaling a value of USD 1.7 billion). This amount represents a 33% premium over the closing price of the shares as of December 20, 2024, and a 34% premium relative to the weighted average of the last 90 days.
Despegar’s Executive Committee approved the transaction and recommended that its shareholders vote in favor, based on the unanimous assessment of a specialized commission. According to Prosus, this acquisition aims to strengthen its presence in Latin America, expanding its regional ecosystem to more than 100 million customers in the sectors of e-commerce, travel, and financial technology.
A strategic transaction for both companies
«Despegar is a highly profitable company with an attractive market position and an experienced leadership team,» said Fabricio Bloisi, CEO of Prosus. «We will accelerate its growth by leveraging our operational expertise and AI capabilities,» he added.
Meanwhile, Despegar’s CEO, Damián Scokin, stated, «Prosus is the ideal partner to take us to the next phase of growth. For our customers, this means access to a broader portfolio of services and solutions tailored to their needs.»
Founded in Argentina in 1999, Despegar operates in more than 19 markets across Latin America and processes over 9.5 million annual transactions, with revenues of $706 million and an EBITDA of $116 million, according to its 2023 financial report.
Synergies with Prosus’ portfolio
According to Prosus, the acquisition will create synergies with other companies in the group, such as iFood, a delivery platform with over 60 million annual customers, and Sympla, a prominent event organization service. Additionally, the company plans to enhance user engagement and add new products and services to the Despegar platform.
«Latin America is a market we know well, with promising opportunities in the online travel sector. This investment is an example of how we integrate businesses into our ecosystem to generate value and sustainable growth,» added Bloisi.
The transaction is subject to approval by Despegar’s shareholders and relevant regulatory authorities. The deal is expected to close in the second quarter of 2025. The purchase price will be paid using Prosus’ liquid funds.
Morgan Stanley & Co. International acted as exclusive financial advisor to Prosus, while Davis Polk & Wardell LLP provided legal advice on the transaction.
