TTG Asia

March 04 - 10, 2005

Cendant TDS integrates subsidiaries
By Prudence Lui

HONG KONG After acquiring leading specialist hotel guide and reservations service Asia-Hotels.com in early February, Cendant Travel Distribution Services (TDS) plans to integrate the new buy with another subsidiary, Sydney-based Flairview Travel.

This will consolidate Cendants presence in Asia-Pacific. Established in 1996, Asia-Hotels.com lists full details of 4,000 hotels and resorts in 24 countries across Asia. Monthly users of the service exceed 800,000; 65 per cent are Asian residents.

Co-founder of Asia-Hotels. com, Mr Jon Stonham and Mr Riyaz Moorani, have been absorbed by Cendant TDS and have assumed new roles within the group.

Hong Kong-based Cendant TDS strategic development group vice-president, Mr Ram Seethepalli, said Asia was a very different market from the US. "Asia is dominated by independent hotels. Therefore, this acquisition could bring us to other new Asian destinations such as the Philippines and Sri Lanka."

He said Asia-Hotels.com had extensive knowledge of the marketplace. "The move also strengthens our multiple distribution platforms. In fact, Asia is still a wide opened market and Cendant hopes to extend its leadership as top player in online hotels in 2005."

Mr Seethepalli said there were no immediate plans for more acquisitions, but added: "Acquisition is not the only direction, we can grow our business organically".

Flairview Travel is an online accommodation wholesaler and operator of the HotelClub.com and RatesToGo. com websites.

It claimed its hotel bookings in the Asian market grew by 500 per cent over the last 12 months. The new integration is expected to let the two companies concentrate on their core competencies while providing opportunities to leverage on respective unique strengths.

Flairview Travels involvement will allow Asia-Hotels.com to use the HotelClub.com and RatesToGo.com technology and multilanguage booking services.

Asia-Hotels.com will be able to devote resources to the Asian markets built up over the last nine years.