Momondo Group, the parent company of the flight metasearch site and Cheapflights, has announced it has agreed a £5 million revolving credit facility from Barclays.
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Momondo agrees bank credit for international growth and acquisitions
Momondo Group, the parent company of the flight metasearch site and Cheapflights, has announced it has agreed a £5 million revolving credit facility from Barclays.
The firm said the deal will to help it continue to “fund its global expansion and enable the business to move quickly to secure future acquisitions”.
Alan Martin, chief financial officer at Momondo Group, said: “Taking up debt and making the acquisition as we did was transformative for the business.
“From this enlarged base and having paid down our debt out of cashflow, there are a lot of other interesting opportunities in the marketplace that we intend to leverage in the future.
“We have planned for, and delivered, significant business growth over the past two years – reaching millions more users in countries around the world and helping them to compare and choose their travel options more easily.
“Through the good working relationship we have established with Barclays in recent years, we have been able to secure a revolving credit facility that will give us the flexibility to expand the company, delivering a broader range of engaging travel search products and services, to new users around the world.”
Piers Deppe, relationship director, Barclays’ technology, media and telecoms (TMT) team, added: “Momondo Group is a highly innovative business and has proven that it can bring together two very distinctive brands and cultures under one roof to successfully co-exist.
“The company has a track record of making prudent acquisitions and has shown impressive growth in a number of global markets.
“We are fully behind its plans to continue to grow and maintain its position as one of the biggest names in the travel search market.”
The London-based company, formerly Cheapflights Media Ltd, acquired Copenhagen-based travel outfit momondo in 2011, and rebranded as Momondo Group in 2012, retaining both the momondo and Cheapflights brands.
It has since experienced rapid growth in the US, Western Europe, Russia and the Nordics, while launching dedicated websites in ten new markets in the past 18 months, including New Zealand, China, Brazil and Mexico.
Momondo Group has recently launched a new metasearch site for its Cheapflights brand in New Zealand, and expanded its mobile offering with apps on three major platforms, to respond to the increasing volume of traffic arriving at its sites from mobile devices.
