The travel technology consortium Mondee will be listed on the stock exchange through a merger with the acquisition company ITHAX Acquisition Corp.
The deal, which was announced during the holidays and is expected to be finalized in the first half of this year, will allow Mondee to operate under its name and with its existing management team in place. The cash proceeds of the transaction will include $ 241.5 million from ITHAX and $ 50 million from investors through a private investment in a public stock transaction.
Launched in 2011 as a technology and content platform with a focus on leisure travel agencies, Mondee has since expanded with several acquisitions, including corporate savings and incentive specialist Rocketrip in September. The company plans to continue its merger and acquisition strategy as it goes public “by acquiring smaller, private competitors at lower prices [earnings
before interest, taxes, depreciation and amortization] marketable … and integrate them under the Mondee umbrella, “said ITHAX President and CEO Orestes Fintiklis in an investor call announcing the acquisition.
The deal is the latest in a wave of “blank check” SPAC agreements, which allow companies to go public without the traditional initial public procurement process in the travel industry. American Express Global Business Travel announced in early December a merger with SPAC Apollo Strategic Growth Capital, which is also expected to close in the first half of this year, and both Wheels Up and Cvent also went public through the process last year.