"Shaw Stockbroking senior analyst Darren Vincent says a merger of Wotif and Webjet (which has a market value of $341?million*) would greatly reduce operating costs, Wotif room sales would treble with access to Webjet’s portals and any deal would complement Webjet’s expansion into hotel sales.
"The two companies’ Asian-focused growth strategies are already in alignment. Webjet’s $25?million acquisition of online travel booker, Zuji, in December shored up its foothold in Hong Kong and Singapore. Zuji is the No.1 online travel agency in air tickets; Blume was its chief executive from 2004." ____________
The article says there has been a rapid consolidation of travel online sites recently, and gives some takeover examples.
* The market cap of WEB is now $209m @ $2.64.
WEB Price at posting:
$2.64 Sentiment: None Disclosure: Not Held
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