To represent on the online travel firm board
ABU DHABI: Waha Capital, a leading investment company in Abu Dhabi has announced an investment of AED184 million ($50 million) in Despegar.com, a leading NYSE-listed company in the online travel sector.
An addition to its investment programme initiated in May comprising a total of up to $150 million in the US-listed companies, Waha Capital says, the new investment supports the company’s growth strategy for its Private Investments portfolio. As part of the investment, Waha Capital will also appoint a representative to the company’s Board of Directors. Waha Capital and Despegar.com entered into a private placement through which Waha Capital will invest in series B preferred shares, convertible into ordinary shares, for an aggregate purchase price of AED184 million (US$50 million).
Amr AlMenhali, Chief Executive Officer of Waha Capital, said the company is 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,” he said.
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.
The investment in Despegar.com further diversifies Waha Capital’s investment portfolio into both a new sector and a new region, according to a statement. Despegar is the leading online travel company in Latin America, and one of the most recognized brands in the region.
Despegar offers consumers an expansive selection of options, and to its partners and travel suppliers, it offers a comprehensive and innovative technology platform for managing the distribution of their products.
This investment further underscores Waha Capital’s strategy of investing in companies that have strong growth potential and are market leaders in their segments, according to the Abh Dhabi firm.