Fairfax Media Limited (FXJ) announced the acquisition of online holiday rental and corporate accommodation business, Occupancy Pty Limited for $A29.1million. Occupancy lists over 25,000 holiday rental properties through two consumer websites, Rentahome.com.au and Takeabreak.com.au, and generates revenues from booking commissions, paid by rental property owners, and advertising. Occupancy also maintains websites providing extensive information on travel ideas and destinations, various guides, reviews and event information.
The acquisition of Occupancy further extends Fairfax Media’s online transaction business. The travel/holiday component of Fairfax’s online transactional portfolio includes Stayz.com.au, the number one brand in online holiday rentals in Australia, Holidayhomes.co.nz in New Zealand and Bookit.co.nz, an online booking technology that services travel suppliers and travel sellers in Australia and New Zealand. The purchase price comprises a combination of cash ($17.9 million) and shares in the combined Stayz/Occupancy business ($11.2 million).
Greg Hywood, Chief Executive Officer of Fairfax Media said: “Occupancy is an online transactional business that is growing strongly and has huge market potential. This potential will only be enhanced when coupled with Fairfax Media’s market-leading presence in online travel and excellent digital audiences. “Occupancy also provides a perfect fit with our stated strategy of expanding in the online transactions sector, where we are committed to further strengthening our position.” Fairfax acquired Stayz for A$14.3m in 2005 and has developed the business to the point where it is the leading provider of holiday rentals in the Australian market with 27,000 property listings and over 1 million unique users per month,* booking over 800,000 accommodation nights a year.
http://www.traderdealer.com.au/Fundamentals/fxj
