Qantas to take full control of Byron Bay’s TripADeal travel agency for $211m

Qantas to take full control of Byron Bay’s TripADeal travel agency for $211m

Photo: Vidar Nordii-Mathisen, via Unsplash

Qantas Airways (ASX: QAN) has moved to acquire full control of Byron Bay-born online travel business TripADeal in a $211 million transaction that the group says accelerates its exposure to the online holiday packages market.

Qantas, which has held a majority interest in TripADeal since 2022, is acquiring the remaining 49 per cent of the business from founders Norm Black and Richard Johnston.

“As founders of a home-grown business that has made it easier for millions of Australians to take amazing holidays at the click of a button, this is a proud moment for us,” say Black and Johnston in a joint statement.

“We have worked hard to build and grow TripADeal from the ground up and know Qantas will take it into a new era of success.”

Black and Johnston, who will leave the business once the deal settles at the end of this month, founded TripADeal to offer "bucket list" tours, cruises and resort escapes with set itineraries including flights and hotel accommodation.

Matt Wolfenden, who has been with the company for seven years, will become CEO, leading the 150-strong team in Byron Bay and tour guides based in 30 countries.

The acquisition by Qantas in 2022 has allowed its Frequent Flyers to earn and use their Qantas Points on African safaris, Fiji beach holidays, European getaways, adventures to India, and other ready-made holiday packages

Qantas says full control will allow the group to “deepen synergies by combining Qantas and Jetstar’s extensive network with the growing curated tour market”. It will also create a more tailored and integrated experience for Qantas Frequent Flyers.

“TripADeal has been building on-trend and well-priced holiday packages for over a decade and has delighted millions of holidaymakers in the process,” says Qantas Loyalty CEO Andrew Glance.

“This success has only been turbocharged by the Qantas partnership, and the opportunity for our members to earn and use their points.

“With TripADeal bookings growing at 70 per cent over the last year, and more opportunities to strengthen the offering and realise further synergies, this deal is great news for our customers and the Loyalty business more broadly.”

TripADeal’s bookings over the past year have topped $450 million, which is double pre-COVID levels.

Qantas says it plans to operate the division, which recently added cruises to its platform, as an independent business, working with travel partners and airlines, including Qantas and Jetstar, to build and deliver ready-made packages.  

The airline group expects the business deliver returns that exceed its own internal hurdles as Qantas Loyalty continues edges closer towards its $800 million to $1 billion underlying EBIT target for 2030.

Qantas Loyalty still expects to deliver underlying EBIT in FY24 of $500 million to $525 million before returning to growth of at least 10 per cent in underlying EBIT in FY25.

Enjoyed this article?

Don't miss out on the knowledge and insights to be gained from our daily news and features.

Subscribe today to unlock unlimited access to in-depth business coverage, expert analysis, and exclusive content across all devices.

Support independent journalism and stay informed with stories that matter to you.

Subscribe now and get 50% off your first year!

Four time-saving tips for automating your investment portfolio
Partner Content
In today's fast-paced investment landscape, time is a valuable commodity. Fortunately, w...
Etoro
Advertisement

Related Stories

Investors sour on Aussie Broadband's new challenger brand Buddy Telco with $10m marketing cost

Investors sour on Aussie Broadband's new challenger brand Buddy Telco with $10m marketing cost

After rival Superloop (ASX: SLC) scooped up its white labelling agr...

Bonjour Paris: Qantas launches third direct flight to Europe from Perth

Bonjour Paris: Qantas launches third direct flight to Europe from Perth

Australia's leading airline Qantas (ASX: QAN) last night l...

Golden handshakes to departing ASX100 CEOs hit 12-year high

Golden handshakes to departing ASX100 CEOs hit 12-year high

Around one in every six CEOs of ASX100 companies left their job&nbs...

Maggie Beer Holdings CEO Kinda Grange resigns just 16 months into the job

Maggie Beer Holdings CEO Kinda Grange resigns just 16 months into the job

The revolving door of leadership at Maggie Beer Holdings (ASX: MBH)...