Despegar Added to Russell Equity Indexes

Rhea-AI Summary

Despegar (NYSE: DESP), Latin America's leading travel technology company, has been added to the Russell 2000 and Russell 3000 indexes, effective July 1, 2024. CEO Damian Scokin highlighted that inclusion in these indexes validates Despegar's growth and capital allocation strategies. The Russell 3000 Index includes the 3,000 largest U.S. traded stocks, serving as an important benchmark for investment managers and institutional investors. Approximately $9.1 trillion in assets are benchmarked against Russell's U.S. indexes, making this inclusion a significant milestone for Despegar.

Positive

• Despegar's inclusion in the Russell 2000 and Russell 3000 indexes effective July 1, 2024.
• Validation of Despegar's growth and capital allocation strategies.
• Access to a broader pool of institutional investors benchmarked against Russell's U.S. indexes.

Negative

• None.

BRITISH VIRGIN ISLANDS--(BUSINESS WIRE)-- Despegar.com, Corp. (NYSE: DESP) (“Despegar” or the “Company”), Latin America’s leading travel technology company, today announced that, as part of the annual reconstitution of the Russell equity indexes, the Company has been added to the Russell 2000® Index and the broad-market Russell 3000® Index, effective at the open of the U.S. equity markets on July 1, 2024.

Damian Scokin, Despegar´s CEO, said, “We are pleased to have earned inclusion in Russell stock indexes, among the most widely used benchmarks for small-cap stocks, validating the focused execution of our growth and capital allocation strategies. Joining the Russell stock indexes is another significant milestone for Despegar, as we continue to leverage our top-tier technology platform, scale, brand strength and local expertise to consolidate Latin America’s fast-growing travel market.”

Membership in the Russell 3000® Index means automatic inclusion in the Russell 2000® or large-cap Russell 1000® Index subject to market capitalization, as well as in related growth and value style indexes. The Russell 3000® also serves as the U.S. Component to the Russell Global Index®. The Russell 3000® Index encompasses the 3,000 largest U.S. traded stocks by objective market-capitalization rankings and style attributes. Membership in these indexes is updated annually and remains in place for one year.

The Russell indexes are widely used by investment managers and institutional investors as benchmarks for active investment strategies. Its indexes are also used by institutions, such as mutual fund companies, to create index funds. As of May 2024, approximately US$ 9.1 trillion in assets were benchmarked against Russell’s U.S. indexes. Russell indexes are part of FTSE Russell, a leading global index provider.

For more information on the Russell indexes and the recent annual reconstitution of them, visit the “Russell Reconstitution” section on the FTSE Russell website.

Forward-Looking Statements

This press release includes forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. We base these forward-looking statements on our current beliefs, expectations and projections about future events and trends affecting our business and our market. Many important factors could cause our actual results to differ substantially from those anticipated in our forward-looking statements. Forward-looking statements are not guarantees of future performance. Forward-looking statements speak only as of the date they are made, and we undertake no obligation to update publicly or to revise any forward-looking statements. New risks and uncertainties emerge from time to time, and it is not possible for us to predict all risks and uncertainties that could have an impact on the forward-looking statements contained in this press release. The words “believe,” “may,” “should,” “aim,” “estimate,” “continue,” “anticipate,” “intend,” “will,” “expect” and similar words are intended to identify forward-looking statements. Forward-looking statements include information concerning our possible or assumed future results of operations, business strategies, capital expenditures, financing plans, competitive position, industry environment, potential growth opportunities, the effects of future regulation and the effects of competition. Considering these limitations, you should not make any investment decision in reliance on forward-looking statements contained in this press release.

About Despegar.com

Despegar is the leading travel technology company in Latin America. For over two decades, it has revolutionized the tourism industry in the region through technology. With its continuous commitment to the development of the sector, Despegar today is comprised of a consolidated group that includes Despegar, Decolar, Best Day, Viajes Falabella, Viajanet Stays and Koin, and has become one of the largest travel companies in Latin America.

Despegar operates in 19 countries in the region, accompanying Latin Americans from the moment they dream of traveling until they share their memories. With the purpose of improving people's lives and transforming the shopping experience, Despegar has developed alternative payment and financing methods, democratizing the access to consumption and bringing Latin Americans closer to their next travel experience. Despegar’s common shares are traded on the New York Stock Exchange (NYSE: DESP). For more information, visit Despegar’s Investor Relations website https://investor.despegar.com/.

View source version on businesswire.com: https://www.businesswire.com/news/home/20240701748542/en/

IR Contact

Luca Pfeifer Investor Relations

Phone: (+1) 305 481 1785

E-mail: luca.pfeifer@despegar.com

Source: Despegar.com, Corp.

FAQ

When will Despegar be added to the Russell indexes?

Despegar will be added to the Russell 2000 and Russell 3000 indexes on July 1, 2024.

What are the Russell indexes?

The Russell indexes, including the Russell 2000 and Russell 3000, are benchmarks widely used by investment managers and institutional investors to gauge the performance of small-cap and broad-market stocks.

What does inclusion in the Russell 3000 index mean for Despegar?

Inclusion in the Russell 3000 index means that Despegar is one of the 3,000 largest U.S. traded stocks, providing exposure to a larger pool of institutional investors.

How much in assets is benchmarked against the Russell U.S. indexes?

Approximately $9.1 trillion in assets are benchmarked against Russell's U.S. indexes.

What impact does Despegar's inclusion in the Russell indexes have on its stock?

Inclusion in the Russell indexes can increase visibility among institutional investors and potentially impact the stock's liquidity and valuation.