Expedia has agreed to acquire HomeAway, including all of its brands, for an equity value of approximately $3.9 billion in cash and Expedia common stock, representing a per share price for HomeAway shares of $38.31 , based on Expedia's closing price on November 3, 2015 .
"We have long had our eyes on the fast growing ~$100 billion alternative accommodations space and have been building on our partnership with HomeAway , a global leader in vacation rentals, for two years. Bringing HomeAway into the Expedia, Inc. family and adding its leading brands to our portfolio of the most trusted brands in travel is a logical next step," said Dara Khosrowshahi , Chief Executive Officer, Expedia, Inc.
While Airbnb typically offers short-term rentals and HomeAway often targets travelers looking for one-week or longer stays, buying HomeAway instantly allows Expedia to expand its options for consumers beyond hotels.
"We could not be more excited about joining the Expedia family of leading travel brands and what this move means for our very bright future," said Brian Sharples , Chief Executive Officer of HomeAway, Inc. , noting that the company has been moving toward a fully online bookable marketplace and closer to the type of transactional business model with which Expedia has tremendous experience. "We're eager to benefit from Expedia's distribution, technology and expertise, which will allow us to provide an even better product and service experience for our owners, property managers and travelers. In this way, I believe our combination with Expedia will turbocharge our growth and industry leadership for many years to come."