Wirtualna Polska Holding, which offers online travel and tourism services in Poland, is acquiring the Hungarian online travel agency Szallas Group from Portfolion Capital Partners.
The operation is valued at 72 million euros, plus the company’s net cash, which was estimated at around 10 million euros at the closing date of the transaction, which means that the total value of the acquisition is 82 million euros.
Established in 2007, Szallas Group operates the largest national travel portals in Central and Eastern Europe (CEE), enabling travelers to book accommodation in Hungary, the Czech Republic, Romania, Poland and Croatia.
In addition to accommodation booking services, Szallas Group also operates websites offering spa packages, hotel discount coupons, tours and activities, and B2B services.
During the 12 months ending June 2022, the company says it had more than a million bookings with a total transaction value of €200 million made through the group’s websites. For the period, Szallas Group generated an EBITDA of 6.6 million euros.
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“The acquisition of the Szallas Group is our first foreign investment and a groundbreaking moment in the history of Wirtualna Polska Holding. Following the merger with our own Nocowanie.pl, the largest group of local companies operating in the domestic accommodation markets of Central and Eastern Europe will be created, offering more than 100,000 accommodation options”, says Jacek Świderski, CEO of Wirtualna Polska Holding company.
“We are very impressed with the skills of [Szallas Group CEO József Szigetvári] and his team as they have shown how to run a successful business in competition against global platforms in the local market. We also believe in the potential behind the travel industry as a whole. This has been confirmed by the financial performance of Nocowanie.pl, which recorded record revenue in its history in the second quarter of 2022.”
Adds Szigetvári: “We will continue the CEE growth path we have established with PortfoLion with further acquisitions and organic growth in the region. Our management strongly believes that becoming a member of such a large and fast-growing group like Wirtualna Polska Holding opens up new opportunities for our dedicated team of 350, especially in the case of our Polish portfolio.”