The financial terms of the deal were not disclosed, and the transaction is yet subject to the approval of the Competition Council, with the expected closing in the second half of June.

The legal advisers were Tuca Zbarcea & Asociatii on the buy side and Sfiraiala & Asociatii on sell side. The financial and fiscal adviser was KPMG.

Through the deal, the investment fund said it is aiming to consolidate a leading travel services provider in Romania able to extend operations to other Eastern Europe countries.

The online is considered by GED as a key business line due to the expected 2 digits percentages increases on the demand of this type of services.

Paravion will remain as the online company of the group offering air tickets, hotel bookings and rent a car reservation services, keeping its brand name and operating independently of Happy Tour, which is operating at the corporate level. has achieved €5 million turnover in 2009 and expects to increase up to €7 million in 2010.

The project will be developed together with Paravion team, including Remus Vizan, one of the former owners of who has joined as Deputy General Manager.

GED Capital Development is a European Private Equity firm operating in the small buyout and growth capital segment in southeast Europe and the Iberian Peninsula. The group manages a total fund volume of around €350 million through several vehicles.

The fund’s investment portfolio includes Rosegur; Red Projects, Fonomat, Fama, Happy Tour, Diamedix, Total Euro Busines and Infopress.

GED acquired recently 92% of Infopress, the largest provider of printing services in Romania, for an estimated €12 million.

The PE fund said it would invest further in Romania for the remainder of the year, around €20-25 million in new transactions and in companies already under its management, Anca Ionescu, deputy managing director GED Romania, told Wall-Street.