Trip.me is merging with TravelLocal in a bid to create a multi-national online travel agency targeting tailor-made travel service.
Terms of the merger have not been disclosed but the combining of the two companies comes as a new investment round of £2.5 million is also announced.
The deal is being touted as a means to capitalize on the anticipated boom in demand with a "once in a generation" opportunity to bring two growing brands together.
Between them they have raised £13 million in investment capital, with TravelLocal's most recent coming in August 2019 with a round via U.K. broadcaster Channel 4.
The pair will have a combined reach of customers in more than 100 countries, in particular their respective home markets in the U.K. and Germany, with products available in almost 100 destinations.
The Series A round this week was led by Active Partners and Gresham House Ventures.
TravelLocal CEO Tom Stapleton says: "COVID is accelerating an epochal change in the travel industry. Ethical and sustainable travel that contributes substantially and directly local economies is at the forefront of global consumer trends now."
The existing teams and headcount will not be affected by the merger, the pair say in a statement.