LANGLEY, UK — The parent company of the Galileo and Worldspan GDSs is being bought out in a deal worth more than US$4 billion.
Travel technology company Travelport Worldwide Limited has entered into a definitive agreement to be acquired by affiliates of Siris Capital Group, LLC and Evergreen Coast Capital Corp. in an all-cash transaction valued at approximately $4.4 billion.
Under the terms of the agreement, Siris and Evergreen will acquire all the outstanding common shares of Travelport for $15.75 per share in cash. The Board of Directors of Travelport unanimously approved the agreement and recommended that shareholders vote in favor of the transaction.
Doug Steenland, Chairman of the Board of Directors of Travelport, said the deal is a win for shareholders going forward. “This is a good outcome for Travelport’s shareholders. Assisted by external advisers, the Board concluded unanimously, after taking into account the ongoing development needs of the business, that entering into this agreement represents the best way to maximize value for shareholders. It also enables the company to continue its work to position itself for growth in the evolving global travel industry.”
Gordon Wilson, President and CEO of Travelport, added: “Travelport welcomes this proposed transaction with Siris and Evergreen, who are specialist technology platform investors. Throughout the process, Siris and Evergreen have demonstrated their deep technology expertise together with a strong commitment to the success of our customers, employees and partners. We will continue to develop and invest in our platform to serve the changing needs of our customers in the travel industry. It is very much business as usual at Travelport and we look forward to this new era in the company’s development.”
John Swainson, an Executive Partner of Siris, said Siris has “been impressed with Travelport’s industry leadership, global scale and reach, local expertise, world-class management team and commitment to delivering best-in-class solutions for global travel suppliers and agencies. Siris looks forward to building on this legacy and supporting Travelport as it invests in its platform and embarks on a new phase of innovation and industry leadership.”
Added Frank Baker, Co-Founder of Siris Capital: “We have been impressed by the company’s industry-leading GDS technology platform, which supports mission-critical transactions for both travel providers and agents. At the same time, Travelport is redefining the travel payments industry through eNett, a disruptive and fast-growing leader in secure, virtual travel payments. Siris looks forward to partnering with the company’s management team and Evergreen in this next phase of Travelport’s evolution and growth as a private company.”
The Langley, U.K., tech company can seek offers from other buyers through Jan. 23, 2019. The proposed deal is expected to close in the first half of 2019. It still needs approval from shareholders and regulators.
With files from The Associated Press
