Thursday, February 29, 2024
spot_img
HomeBusinessEconomyUAE's Waha Capital eyes Latin America tourism boost after $50m investment

UAE’s Waha Capital eyes Latin America tourism boost after $50m investment

By Sam Bridge

DUBAI, United Arab Emirates, (Arabian Business) – Abu Dhabi-based investment firm Waha Capital on Saturday announced an investment of AED184 million ($50 million) in Despegar.com, a NYSE-listed company in the online travel sector.

The move is part of the company’s investment programme initiated in May comprising a total of up to $150 million in US-listed companies, a statement carried by state news agency read. As part of the investment, Waha Capital will also appoint a representative to the company’s board of directors, it added.

Amr Al Menhali, chief executive officer of Waha Capital, said: “As was evident in our recently announced first-half financial results, we are pursuing a vigorous turnaround strategy to position Waha Capital for renewed growth in the coming years. We are confident that investments such as the one we are making in Despegar will put us on a firm footing to deliver significantly higher future returns for our shareholders as we successfully navigate past the impact of COVID-19 and look to the future.

“We are excited about our investment in Despegar.com, a leading technology company focused on the travel sector, with a best-in-class platform, established brand leadership, and a high-quality management team.”

Despegar is the leading online travel company in Latin America, and is well-positioned to benefit from an accelerating shift to online consumer purchases driven both by technology advancement as well as the accelerated adoption of e-commerce due to the impact of COVID-19, the statement said.

Latin American online travel bookings are expected to accelerate in the coming years, once the effects of the COVID-19 pandemic have subsided.

Factors driving the growth in online travel bookings include the increase of internet penetration, further adoption of smartphones, tablets and other mobile devices and a growing middle class with greater access to banking services and credit products, together enabling a larger segment of the population to transact online or on mobile devices.

The company offers deals with over 270 airlines and over 690,000 hotels, as well as some 1,260 car rental agencies and approximately 200 destination services suppliers.

This article originally appeared on Arabian Business on August 22, 2020.

spot_img
RELATED ARTICLES

LEAVE A REPLY

Please enter your comment!
Please enter your name here

spot_img
spot_img
spot_img

Caribbean News

A healthier future demands collective action

- APEC is leveraging collective expertise and shared commitment for a more unified health agenda. By Cesar Vasquez The APEC Health Working Group (HWG) is at a pivotal...

Global News

All parties to Gaza crisis may have committed war crimes, says UN rights chief

NEW YORK, USA - All parties to the Gaza conflict have been responsible for “clear violations of international humanitarian law including possible war crimes”,...