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Argentine travel firm Despegar raises $200 million and buys Brazilian Koin

The value of the acquisition of Brazilian company that offers installment solutions was about BRL 20 million

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  • Despegar said it intends to use the amount received from Waha Capital and L Catterton for corporate expenses and potential acquisitions;
  • Despegar had a second-quarter loss of $57 million.

Argentine travel group Despegar announced on Friday that it had raised $200 million in two new investments and closed a deal to buy the Brazilian fintech Koin.

Despegar said it intends to use the amount received from Waha Capital and L Catterton for corporate expenses and potential acquisitions. The acquisition of Koin, a company that offers online installment solutions via Brazilian boleto bancário, was made with the capitalization of receivables from Decolar.com, Despegar’s Brazilian subsidiary, in the total amount of BRL 20 million ($3,5 million), the company said. Despegar said it has been offering Koin’s installment payment solution in Brazil since early 2019.

Despegar had a second-quarter loss of $57 million, against a negative result one year before of $16.5 million. The adjusted Ebitda was negative by $65.8 million after a negative result of $7.3 million in the second quarter of 2019.