Abercrombie & Kent Travel Group (AKTG) has secured and signed a definitive financing agreement for up to US$500 million to fund its continued expansion of its Abercrombie & Kent global travel business.
The facility has been underwritten by Citi and enables the company to restructure existing legacy financing arrangements, not only consolidating them, but achieving improved lending terms. The luxury travel company says the fund provides Abercrombie & Kent with a “clear runway for expansion over the coming years”.
The funding is part of the ‘One A&K’ strategy, which is focused on unifying every element of the business and improving the end-to-end product experience for consumers. As part of this growth, Abercrombie & Kent will invest in expanding its owned assets, globally. This will result in new Destination Management Companies (DMCs) and physical assets such as camps, lodges, and riverboats, in existing and new markets.
New DMCs are planned in Mexico and Indonesia this year – both of which were revealed exclusively by LATTE – in addition to Abercrombie & Kent’s existing 56 offices in 34 countries. New products have been created across the globe, from land-based itineraries to private-jet journeys on the A&K jet. There are Expedition Cruises on all seven continents, with two new cruises launched this year. A new riverboat will launch in Peru next year, joining the company’s current fleet of four riverboats in Egypt, and three expedition yachts in the Galápagos Islands under the Ecoventura brand. Abercrombie & Kent also has 12 camps and lodges in Africa, with a new one slated to open next year in Kenya’s Amboseli – also foreshadowed by LATTE.https://latte-au-convert.bng.tools/2024/04/19/abercrombie-kent-mexico-dmc/https://latte-au-convert.bng.tools/2024/07/09/ak-indonesia-dmc/https://latte-au-convert.bng.tools/2024/04/15/ak-confirms-peruvian-amazon-riverboat/The company is also investing in its back-office systems and creating a world-leading digital infrastructure, centred on a new Abercrombie & Kent global website, centralised booking system, travel advisor portal – all supported by a bespoke CRM platform.
Manfredi Lefebvre d’Ovidio, AKTG Executive Chairman said: “This deal cements another milestone in the over 30-year relationship between my family and Citi. It is a partnership that has helped build businesses and generate growth all around the world.
“I am excited about this next chapter together and the possibilities it unlocks for Abercrombie & Kent,” he added.
Adds, Cristina Levis, AKTG CEO, “Our finance team, headed by Andrew Burrett, did a tremendous job in negotiating and securing this transaction in record time. Once again Citi has shown to us their support reconfirming that they believe in our vision and in the enormous growth potential of Abercrombie & Kent, Crystal and Cox and Kings.”
Andrew Burrett, AKTG CFO commented: “This transaction, facilitated by our strong partnership with Citi, is a step change for the Abercrombie & Kent Travel Group and our vision of ‘One A&K’, creating a clear runway for us to further accelerate our growth path and expanding into more locations where we can continue to delight our guests.”
