priceline.com on Thursday announced it has secured an additional $25
million from General Atlantic Partners LLC to finance its Priceline Europe
operations, bringing the total amount of its investment in the new company
to $50 million.
General Atlantic helped capitalize Priceline Europe’s Web site
(www.priceline.co.uk) at its inception last June. The company operates as an
independent entity, licensing its business model and intellectual property
for a fee. priceline.com has an option to purchase an equity stake in the
company but currently holds no interest.
“Priceline Europe is an important part of priceline.com’s strategy of
focusing on growing and expanding our core businesses in the U.S. and key
international markets,” said Richard S. Braddock, chairman of priceline.com.
“General Atlantic Partners has been a strategic partner of priceline.com
since our beginning in the U.S. This additional funding by them provides
valuable assistance in helping to meet our mutual business goals and
represents a strong endorsement of priceline.com.”
In addition to the financing, General Atlantic Partners is providing operational
and strategic support through its professional staff. priceline.com Europe’s
management team includes Dennis Malamatinas, Diageo plc director and chief executive officer of
Burger King, and Timothy G. Brier, former president of Priceline Travel who
now serves as Priceline Europe’s chairman.
“Priceline Europe has everything in place to move forward,” said
Priceline Europe President and CEO Dennis Malamatinas. “Our team is ready,
our Web site is up and running, and we have an impressive group of
supplier/partners on board. This injection of funds will help us build on
this solid foundation, allowing us to spread the marketing word and
establish ourselves as a pre-eminent European brand.”
priceline.com’s stock rose 17/32 to 2-19/32.