Tripadvisor Sells European Restaurant Business to American Express
What happened
Tripadvisor completed the sale of TheFork, its European online restaurant reservation platform, to American Express on November 1. The transaction is valued at approximately $700 million. As part of the deal, Tripadvisor agreed to provide certain services to American Express for a period of 12 months to assist with the transition. Shares of Tripadvisor rose about 4.01% following the announcement.
From ibtimes.com.au
Why it matters
The divestiture allows Tripadvisor to narrow its business scope and gain greater financial flexibility. This move occurs while Tripadvisor and Google remain direct competitors in the travel market, with Google's search dominance exerting pressure on travel traffic and advertising revenue.
From ibtimes.com.au
Who's involved
- TripadvisorAmerican travel website company that sold TheFork and provides services to American Express.
- American ExpressAmerican multinational financial services corporation that acquired TheFork and received services from Tripadvisor.
- StarboardAmerican media conglomerate that initiated activist pressure on Tripadvisor.
Who could feel it
Possible knock-on effectsThese are possibilities Brind reasoned out, not predictions, and not advice. Most are not stated in any report.
- GoogleSpeculative
Increased traveler adoption of Google for trip planning could increase its market share and pressure competitors.
Keep exploring
The entities involved
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Tripadvisor
American travel website company
Nothing else this week.
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Google
American multinational technology company, a subsidiary of Alphabet Inc.
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American Express
American multinational financial services corporation