Lastminute follows OTC offer with Gemstone acquisition

LONDON - Lastminute.com has added another company to its empire with the acquisition of Gemstone Travel, a call centre-based travel agent and online tour operator.

It follows Lastminute's proposals of a £54.9m acquisition of the Online Travel Corporation this week. The Gemstone deal sees an initial consideration of £1.5m, with 219,684 Lastminute.com shares accounting for £500,000 of the transaction and the remainder in cash.

, headed by chief executive Brent Hoberman, said that the acquisition will provide greater access to charter flight product. Gemstone Travel is a good fit for the Med Hotels product, and is a good distribution channel for Med Hotels and Holiday Autos.

Matthew Somers, managing director of Gemstone Travel, said: "The benefits for Gemstone Travel include increased sales through the partnership and the opportunity to expand our product range. The partnership offers us more expertise in IT solutions and increased benefits in driving business through the web."

He added: "Gemstone Travel has had gigantic growth in the last number of years in dynamic packaging -- booking of accommodation with travel -- and this gives us the opportunity to enhance dynamic packaging at Lastminute."

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