13th May 2021 11:18
(Alliance News) - Moneysupermarket.com Group PLC is to combine its TravelSupermarket business with Icelolly Marketing Ltd to create a stand-alone holiday comparison business, it said on Thursday.
The move is aimed at enabling "stronger and broader travel comparison services across both brands", the FTSE 250-listed price comparison website said.
Icelolly.com is an online package holiday travel intermediary, specialising in price comparison and deals. Palatine Private Equity LLP is the current owner.
The deal is on a cash-free basis, with Moneysupermarket owning 62% of the combined entity and having board control, while Palatine and management will hold the remaining equity. Both brands will be retained in the deal.
Moneysupermarket Chief Executive Peter Duffy said: "The combination of TravelSupermarket and Icelolly.com will benefit customers of both brands with a richer and more diversified offer as the travel and holiday markets recover. As well as unlocking commercial benefits, the creation of a standalone entity under a dedicated management team will give us greater flexibility going forwards to maximise shareholder returns."
In 2019 the combined revenue for the two brands was around GBP30 million, although this has dropped significantly due to the impact of the pandemic.
Shares in Moneysupermarket.com were 1.9% lower in London on Thursday morning at 266.00 pence each.
By Will Paige; [email protected]
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