Culture Trip, founded in London in 2011, has agreed to be acquired by digital media company US News & World Report for an undisclosed sum of millions of pounds, Sky News understands.
A travel company dubbed the “Lonely Planet of the 21st Century” is acquiring US ownership after striking a deal with a US-based publisher.
Sky News understands that digital media company US News & World Report has struck a multi-million pound deal to acquire Culture Trip.
The agreement is expected to be made public on Tuesday and comes about seven months after Culture Trip began reviewing its strategic options.
The partnership will strengthen U.S. News’ travel franchise, which includes rankings and advice to help international travelers, officials said.
Culture Trip has been working with Lazarus Consulting, a mergers and acquisitions advisory boutique, on options. since last summer.
The company’s app has been downloaded more than 3 million times and has millions of monthly users.
“Culture Trip’s mission is to connect people through expert-reviewed destinations around the world and is considered one of the most ‘insider’ resources for travelers deciding where they want to have the best experiences. ” said Anna Jakimowska, CEO of Culture Trip Travel UK.
“This, along with the ability to experience travel recommendations through small, stakeholder-driven group trips, makes Culture Trip a comprehensive travel platform.
“We are excited about the expertise and resources that U.S. News will provide to accomplish this mission.”
Culture Trip has raised more than £130m from investors since its founding 13 years ago, but like the entire travel industry, its business has been hit hard by the coronavirus pandemic.
It has raised funding several times, including an $80 million Series B round in April 2018.
Founded in 2011, the business has grown rapidly by capitalizing on millennials’ enthusiasm for “authentic” international travel experiences.
The company describes itself as “purpose-driven” and operates small tour groups to far-flung destinations around the world.
The company initially focused on generating advertising revenue, but in the face of competition from tech giants Metaplatform and Google, it switched to selling hotel reservations.
As a result, Culture Trip is competing with the likes of Expedia and Booking.com, and has decided to shift its focus to selling select travel focused on millennials.
“As we continue to find ways to help people make informed decisions, the Culture Trip website is part of our company’s “This is a natural extension of our US News Travel business.”
“Consumers want reliable information and resources when planning their trips.
“With this acquisition, we now give millions of travelers the tools they need to find the best value and experience.”