Mondee is already a market leader in North America, and Brazil, the largest market in South America, offers a natural expansion opportunity. Orinter is a disruptive growth company in a high-growth market, evidenced by its 2019 – 2022 net revenue CAGR of 38%, including two full years of the pandemic.
Orinter’s leading B2B position in the hotel and ground transport markets underpins a take-rate of approximately 13% and post pandemic restored profitability of >30% EBITDA margin, with 2022 EBITDA of $9.3 million. The acquisition, valued at approximately $40 million is comprised of cash and Mondee (MOND) common stock, plus future earn-out linked to increases in EBITDA.
With the integration of Orinter’s 4,800 travel agents, this acquisition expands Mondee’s geographic footprint to include Brazil’s domestic and outbound travel market. Additionally, Orinter’s direct relationships with Latin American hotels will provide valuable cross-sell opportunities for Mondee.
Furthermore, the acquisition will enable Mondee to broaden the distribution of Orinter’s travel content through its 50,000 travel affiliates and access to 125 million closed group members. Mondee also plans to leverage its proprietary technology platform while optimizing currency-related expenses to achieve meaningful top-line and bottom-line synergies.
Tags: Mondee Holdings Inc., Orinter
