Travel company, Helloworld, will merge with travel services provider, AOT, to create a single company.
AOT is a privately-owned travel services provider with operations in Australia and overseas, operating inbound, government and wholesale sectors of the travel industry.
In FY15, AOT generated $55.8 million in revenue and underlying EBITDA of $14.3 million.
Helloworld’s major shareholders including Qantas and Europe Voyager have agreed to the deal which will see Helloworld pay 218.7 million shares and $25 million cash to acquire AOT, resulting in AOT vendors holding 40 per cent of the diluted share capital of company.
“AOT brings significant strength in inbound and wholesale travel management and accommodation program management and will bolster Helloworld’s existing retail, wholesale and government travel business,” Helloworld said in a statement to the market.
Andrew Burnes, co-founder and CEO of AOT, will become CEO and MD of Helloworld. Current CEO of Helloworld, Elizabeth Gaines had already announced her intention to resign from the role in June. The transaction is expected to be completed in late January 2016, until that time Jenny McDonald is acting CEO of Helloworld.
Cinzia Burnes, co-founder and COO of AOT, will become an executive director of Helloworld.
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