Flight Centre Travel Group (FCTG) has agreed to sell its 47% stake in Pedal Group to The Turner Collective for $61.7 million, a decision it said was in alignment with an ongoing strategy to simplify assets and focus more on core travel businesses.
In making the decision, FCTG non-executive chair Gary Smith said Pedal was a successful asset that would continue to perform well under the stewardship of The Turner Collective.
“Pedal is a strong business with a loyal and engaged customer base, and we are proud of what has been built through the joint venture,” Smith said.
“We believe the Turner Collective is well placed to support Pedal’s growth.”
In September last year, FCTG appointed an advisor to review its Pedal ownership, which operates retail chain 99 Bikes and wholesaler Advanced Traders Australia, at the time stating it intended to maintain an investment in the business but would also consider acquisition proposals if they were deemed in the best interests of the company.
FCTG MD Graham Turner’s son Matt Turner (pictured) is the founder of 99 Bikes and is also the chairman of Pedal Group, with The Turner Collective a consortium associated with the FCTG leader.
The transaction is expected to be completed next month.
