While the tourism industry continues to recover from the COVID-19 pandemic, Israeli companies are identifying growth opportunities through strategic acquisitions. The latest move in the sector: Issta Sport has acquired full ownership of Eco Adventure Tours, one of the oldest companies in the geographic tourism industry, in a deal estimated at NIS 10M.
The acquisition marks a significant entry of Issta Sport into the adventure and geographic travel market – a sector that generates an annual turnover of around NIS 700M in Israel. The purchase allows Issta Sport to directly compete with major players in the market, such as the Geographic Society (owned by Ofakim) and Pegasus (owned by Kishrey Te'ufa).
Eco Adventure Tours, operating in Israel for over 30 years, specializes in planning and leading geographic expeditions to destinations around the world, from the deserts of Africa to the forests of South America, from East Asia to the polar regions. The company is known for its wide variety of organized tours, including nature and cultural tours, cruises, train trips, family expeditions, and treks, tailored to different audiences and age groups.
The new packages that Issta Sport will offer as part of the acquired operation will range in price from $2,000 to $15,000 per person, depending on the destination and the type of tour. The packages will include accommodation, meals, professional guidance, and accompanying equipment. Most of the tours are planned to last between 10 and 17 days and are designed for small groups of about 12-18 participants, ensuring an intimate and high-quality experience.
Ido Veg, CEO of Issta Sport, explains the logic behind the acquisition: "We are excited to add Eco to our group of companies, all of which share a clear guiding principle – they all provide a high-quality and unique experience that creates impact. In recent years, there has been a growing trend where the customer no longer wants to leave the routine and return to it after a vacation, but rather to change their routine through a unique journey that creates meaning and change, even in daily life."
Part of a Broader Growth Strategy
The acquisition of Eco Adventure Tours is not standalone; it is part of a series of strategic moves made by Issta Sport in the past year. The company, which has been operating for over 25 years and specializes in content tourism, recently expanded its operations into the ski tourism sector, a market in Israel that generates an annual turnover of about $40M. In doing so, it positioned itself as a central player alongside the established companies Ski Deal and Penguin.
Additionally, Issta Sport launched Kadabra – its new events production brand, offering comprehensive solutions under one roof for organizations and companies in the corporate events sector, both in Israel and abroad.
The acquisition aligns with the broader strategy of its parent company, Issta Ltd., which focuses on development and investment in diverse tourism sectors (verticals) and the creation of unique and attractive content products for its customers.
Issta Sport was represented in the deal by attorneys Michal Efrat-Alperin and Lior Lavi from the AYR law firm – Amar Reiter Jeanne Shochatovitch & Co.