Kerry-based payments group Fexco has completed the acquisition of CNG Travel’s Leisure Division in a deal that could be worth up to USD3.6 million.
The deal, which was first mooted back in August, is valued at USD2.5 million, with CNG set to receive further performance-based payments over the next three years worth up to USD1.1 million. As part of the deal Fexco will take on 48 former CNG staff.
CNG’s Leisure Division includes its business-to-consumer (B2C) hotel booking websites, placestostay.com and cnghotels.com together with its worldwide hotel inventory
of over 25,000 exclusive rate hotel contracts. The business also includes contracts with traditional and online travel agencies, as well as affiliates contracts with airline websites and other online portals, driven by CNG’s online booking and inventory management system.
Fexco will now integrate the CNG assets into its online travel segment, which includes tourist information and reservation service provider Gulliver Ireland, Nova Car Hire and Online Teetimes, an online golf booking network. CNG’s placestostay.com and cnghotels.com will be re-branded in the coming weeks, Fexco said.
“We are delighted that the CNG online hotels business has become part of Fexco,” said Dr. Stewart Stephens, director of Fexco. “It’s a great fit with our existing Irish online accommodation and international car hire businesses, and the systems and talents that are coming across will add greatly to our online travel division. CNG hotels gives us enormous scope for growth and we are really looking forward to working with our new colleagues to achieve that potential.