Nordic Visitor hf. has acquired the travel agency Terra Nova Sól hf. from a subsidiary of Arion Bank. Terra Nova was part of TravelCo hf., which was established following the bankruptcy of PrimeraAir and taken over by Arion Bank last June. The acquisition is subject to, among other things, the results of due diligence and approval from competition authorities. The purchase price is confidential.
"Terra Nova is a well-established and well-run company built on a strong workforce, solid business relationships, and decades of experience in selling travel to Iceland. Terra Nova and Nordic Visitor differ in many ways when it comes to distribution channels and market areas, and therein lies significant opportunity. There are no plans to merge the two companies; rather, the focus will be on sharing knowledge between them. The objective of the acquisition is to continue improving Terra Nova's operations and to broaden the group's service offering. Both companies are well-run today and are delivering healthy results. Despite the challenging operating environment in Icelandic tourism, there remain significant opportunities for growth. I hope the remaining conditions of the acquisition can be lifted as soon as possible, as I look forward to meeting and starting to work with all the experienced staff who have built Terra Nova into what it is today."
Arion Bank's Corporate Finance division advised the seller, and Arctica Finance's Corporate Finance division advised the buyer.
