Hostelworld has acquired Hostelbookers!!!

According to this article, the purchase price was US$100million (GBP65million)

That's an interesting article, because the title says $100m, but the URL says $500m:
traveldailymedia.com/151452/hostelbookers-purchased-for-500m

That means the original title in the first draft was probably $500m, and when they changed the title, the URL didn't update. I wonder which figure is correct. :)

The Travelution article above said, "The deal creates a group valued at more than $500 million"

I read a similar line in several other articles. That's probably where that figure came from.

Hi Guys!

I think it is important for hostels to promote direct bookings as an alternative to HW and inform backpackers about the benefits for them in booking directly with the hostel.

To help backpackers find the contact information I created a list of every Hostel in my country.

So what's the strategy to bring more guests to hostels? Will this company founded by hostel owners ever work with hostels to proactively develop the market? HW and HB originally grew their businesses by signing up hostels around the world. Coke just ate Pepsi. This is no different than what both companies have done grow their revenue in the past. Sign up new properties. The desperate need to improve revenue for the investors led HW and HB to sign up low end motels, illegal hostels, b&b's and now HW is aquiring their number one competitor. How will aquiring HB bring more overall value to the sector? That is improve revenue for hostels? It won't. This "merger" has now increased competition for hostels. In fact any hostel that is currently listed on only one of the sites, for whatever reason, now instantly has more competitors. New thread started regarding this follows this post