Flight Centre expands Europe reach

Flight Centre’s acquisition of businesses run by eDreams will bolster its corporate travel presence in Europe.

CEO Graham Turner says corporate travel is a key growth area for Flight Centre. Pic: Jack Tran

Flight Centre has announced another acquisition as it looks to shore up a strong position in the European market, particularly in the growing corporate travel space.

The agreement to purchase corporate travel divisions from within online travel agency eDreams ODIGEO will expand Flight Centre’s presence to Sweden, Denmark, Norway, Finland and Germany.

The acquirer (FLT) opted against detailing the price, only saying the deal was all cash and would be completed by year’s end.

“Corporate travel is one of our six key growth sectors for the medium to long term,” managing director Graham Turner said.

“We are already one of the world’s largest corporate travel managers — turnover exceeded $6 billion during the 2016 fiscal year — but we see strong future prospects within the sector and are expanding internationally both organically and via strategic acquisitions.

“While these new additions to our network are relatively small, they are profitable and give Flight Centre a company-owned presence in five key corporate travel markets within Europe, along with a platform for further corporate travel expansion.”

As part of the deal Flight Centre gained control of a proprietary online booking tool, which it said could be rolled out within its SME-focused brands elsewhere in Europe.