HomeAway, a vacation rental site listed on NASDAQ, has announced the acquisition of Stayz, a leading vacation rental service based in Australia. The all-cash transaction amounts to approximately $198 million. As part of the deal, HomeAway will gain control of Stayz Group sites including Stayz.com.au, Rentahome.com.au, TakeABreak.com.au, and YesBookIt, thereby adding 33,000 Australian vacation rental properties to its portfolio.
The Stayz Group was previously owned by Fairfax Digital, a division of Fairfax Media Limited, which acquired the company in 2005 for $12.7 million. HomeAway highlights that Stayz generated AU$25.4 million in revenue in its last fiscal year, primarily through its commission-based business model.
Stayz boasts significantly higher website traffic compared to its closest competitor, holding a dominant position in the region. Following the acquisition, Stayz’s 40-person team will continue operating from its headquarters in Sydney, under the management of Anton Stanish, the General Manager for Stayz. HomeAway plans to integrate Stayz’s inventory into its pay-per-booking system in the United States and Europe to drive additional traffic.
HomeAway CEO Brian Sharples emphasizes that the acquisition is not solely focused on the 33,000 properties but also aims to provide momentum for HomeAway’s recently launched pay-per-booking business, which Stayz has optimized over the years. Stayz’s established procedures, as a company operating since 2001, make it an attractive addition to HomeAway.
This acquisition marks HomeAway’s continued expansion in the region. It comes shortly after the company acquired a majority stake (55%) in New Zealand-based competitor Bookabach. HomeAway has also made other acquisitions over the past year, including Singapore-based short-term rental site travelmob.com and a minority investment in China-based vacation rental company Tujia.com. Additionally, HomeAway established a distribution partnership with Wego.com.
HomeAway’s growth strategy revolves around acquisitions, allowing the company to capitalize on opportunities while competitors, such as Airbnb, have shifted their focus away from rapid international expansion. Airbnb, for example, established a global operations hub in Berlin but intentionally slowed down its growth. HomeAway’s presence in the Australian region dates back to 2011 when it acquired the vacation rental business from REA Group Limited and subsequently launched HomeAway.com.au.
