Luxury Travel Subscription Startup Inspirato Plans $1.1B SPAC Merger

Denver-based Inspirato, a luxury travel subscription brand, is set to go public on the Nasdaq exchange through a merger with Thayer Ventures Acquisition Corp., a publicly traded special purpose acquisition company (SPAC). The combined company will be worth about $1.1 billion, according to a press release.

The deal will “accelerate” Inspirato’s global expansion, said Brent Handler, the company’s CEO. “We are excited to enter a new chapter of growth and innovation with Thayer.”

Inspirato, co-founded by brothers Brent and Brad Handler, released its “Inspirato Pass” in 2019, allowing customers to book unlimited stays in luxury vacation homes and five-star brands like the Ritz Carlton for prices starting at around $2,500 a month with no extra fees.

Inspirato did well in spite of the pandemic last year. The company has over 18,000 members who can choose from 1,200 vacation options in over 395 destinations. Some of the company’s investors include Kleiner Perkins, IVP and Revolution.

“We believe this company will continue to be a leader in the luxury lifestyle sector for decades to come,” said Chris Hemmeter, co-CEO of Thayer Ventures Acquisition Corp. He pointed to Inspirato’s subscription program and its focus on the luxury end of the travel market.

The terms of the deal has existing Inspirato shareholders rolling over 100 percent of their equity into the combined company. Also it is expected that the merged company will get about $260 million of net cash proceeds.

Inspirato plans to use the cash to fuel growth and subscriber acquisition. That includes investing in its platform and technology, expansing of its property portfolio and introducing new products and services in the luxury area.

The boards of directors of Inspirato and Thayer have unanimously approved the business combination. The transaction is expected to close in the fourth quarter of 2021.

UBS Securities is acting as financial advisor and capital markets advisor to Inspirato, and co-lead placement agent for institutional investors to Thayer.