Corporate Travel Management (CTM) has acquired a majority stake in Hong Kong-based Lotus Travel Group Limited (Lotus) in a deal worth £28 million.
The purchase of 75.1 per cent of the group will take effect on 2 October and will result in CTM becoming the largest TMC in Hong Kong – amounting to a combined total transaction value of £1.4 billion.
CTM says its partner in Asia, Ever Prestige Investments, will acquire the remaining 24.9 per cent stake through CTM Asia.
In business for 60 years, Lotus works across the corporate, B2B, wholesale and MICE markets, employing 400 staff at offices in Hong Kong and Greater China.
CTM has made a number of acquisitions in recent years and says the Lotus deal fits with its strategic expansion into the Asian market.
Managing director Jamie Pherous said: “Lotus is a long-standing and highly regarded travel leader in Hong Kong. They meet our strict acquisition criteria and, like CTM Asia, are leaders in travel in the region and enjoy high client and staff retention.
“We are delighted to have Lotus become a key part of our Asian business. Together, we will become a leader in the Greater China market and will be well positioned to enhance our client offering, technology and expertise in this market.”
Patrick Kong, chairman and CEO of Lotus, commented: “We have known the CTM Asia leadership team for many years and have watched [them] build a very strong growth business based on highly personalised service delivery with best-in-class technology solutions.
“We consider that CTM is an excellent fit to enhance our service offering to both current and future clients, while providing exciting new career opportunities for our employees that comes through growth.”