The Abu Dhabi National Exhibitions Company (ADNEC), a subsidiary of state holding company ADQ, has acquired Etihad Holidays, the destination and leisure management arm of Etihad Airways.
The acquisition will expand ADNEC’s footprint in the tourism sector, the company said in a statement on Thursday, without disclosing any further details.
“[The company] is taking the next step in its business diversification strategy with the strategic assets transfer of tourism business unit from Etihad Airways to ADNEC Group,” the statement said.
Etihad Holidays will integrate with Tourism 365, which is ADNEC’s tourism promotion business.
“We hold a long-term investor perspective in identifying and acquiring key assets in developed markets. This move will strengthen the Group’s competitiveness and will increase direct and indirect economic contributions to the UAE’s tourism sectors,” said Humaid Matar Al Dhaheri, managing director and group CEO of ADNEC.
Tourism 365 will operate Etihad Holidays, taking it from a platform focused on the local market to a fully-fledged tour operator supplying online and traditional travel agencies with Etihad network holiday packages from key source markets.
ADQ, Abu Dhabi's third-largest sovereign wealth fund that manages $110 billion in assets, owns companies across a broad range of sectors including utilities, tourism and hospitality, aviation, transport and logistics.
(Reporting by Brinda Darasha; editing by Cleofe Maceda)
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