Expedia Inc. and the founders of
travel search engine Trivago are exploring the feasibility of an IPO of Trivago
shares, according to Expedia CEO Dara Khosrowshahi.
Speaking
during the company’s second-quarter earnings call Thursday,
Khosrowshahi stressed that it would not be a spinoff and that Expedia does not plan to
sell any of its Trivago shares.
Expedia
took ownership of 62% of Trivago’s stock in 2013 in a $630 million deal. In the second quarter of
2016, Expedia said Trivago's standalone revenue increased 41% year-over-year to $201
million.
Khosrowshahi
said Expedia would like to complete an IPO by the end of the year.
Expedia reported that its second-quarter net income fell 6% from a
year earlier, to $128.2 million.
Meanwhile,
revenue rose 33%, to $2.2 billion.
Expedia
said its gross bookings increased 25%, $18.8 billion, and its
global lodging portfolio increased 20% to more than 307,000
hotels.