08-Mar-2011 4:40 PM
Travelport selling GTA business to focus on core business
Analysis
Travelport has reached an agreement to sell its GTA business, one of the world's largest wholesalers of ground content, to Kuoni for USD720 million. The agreed sale is in line with Travelport's strategic plan to focus on maximising the potential of its core business. The sale GTA to Kuoni will significantly de-lever Travelport.
Summary
- Travelport sells GTA business to Kuoni for USD720 million.
- Sale aligns with Travelport's strategic plan to focus on core business.
- GTA is one of the world's largest wholesalers of ground content.
- Sale will help de-lever Travelport.
- Expedia's shares rise by 1.1% after the announcement.
- Amadeus' shares gain 2% on the same day.
