HomeAway to Acquire Majority Control of travelmob

HomeAway, an online marketplace for vacation rentals, is to acquire majority control of travelmob, an online start-up for vacation rental properties in Asia Pacific.

The all-cash transaction is expected to close in a few weeks. Following this, the travelmob management team will retain a 37% share of the business and continue to operate as an independent brand from its Singapore headquarters.

For the remainder of fiscal 2013, HomeAway expects to incur about 2 million dollars in additional expenses to grow the travelmob business.

Built on a transaction-based model, travelmob features over 14,000 Asia Pacific short-term rental listings including luxury villas, urban apartments, houseboats, a private island and some shared spaces. Co-founded in 2012 by Chief Executive Officer Turochas Fuad and Chief Technology Officer Prashant Kirtane, the site supports 13 currencies and operates in Bahasa, Chinese, Japanese, Korean, Russian, Thai, Vietnamese and English.

Brian Sharples, Chief Executive Officer of HomeAway, said, "Economists note over 100 million people will enter the Asian middle class each of the next several years, and Asia will have an increasing influence over the world's economic growth. We believe this will have significant implications for not only travel but also for the purchase of homes, both of which drive HomeAway's growth."

Since April 2011, HomeAway has steadily invested in its Asia Pacific presence, beginning with the purchase of the holiday rental business from REA Group Limited and the subsequent launch of HomeAway.com.au. In 2012 it made a minority investment in China-based vacation rental company Tujia.com, in partnership with China online travel service provider Ctrip.com International. In April 2013 HomeAway opened a sales office in Bangkok.