Sabre Corp. will acquire the Trust Group of Companies, the central reservations, revenue management and hotel marketing provider with a significant presence in EMEA and Asia Pacific, for approximately $154 million. The acquisition will include Trust International, InnLink and Nexus.
The Trust Group's global customer base, broad capabilities and unique solutions will allow Sabre to provide a comprehensive SaaS platform, while extending Sabre's position as the world's largest central reservations system provider to hotels. Together with the Trust Group, Sabre Hospitality Solutions will serve significantly more hotels than any other central reservations technology provider.
“The technology needs of the hospitality industry are evolving at a rapid pace,” said Alex Alt, president of Sabre Hospitality Solutions.
“Hoteliers want a global technology provider that anticipates their needs and delivers broad, integrated solutions, including data and analytics, retailing and guest engagement.”
Central to its growth strategy, Sabre has been working with hoteliers to redefine technology solutions and service models needed to accelerate growth and enhance guest experiences that differentiate brands in all segments of the hospitality industry.
At closing, Sabre will purchase the Trust Group from Battery Ventures, a global investment firm, using proceeds from recently issued notes and cash on hand. The acquisition is expected to contribute approximately $40 million of incremental revenue to Sabre in 2016 and to be accretive to Sabre’s adjusted EBITDA and neutral to its adjusted EPS, assuming a first quarter 2016 closing date.
The acquisition is subject to customary closing conditions and regulatory approvals and is expected to close in early 2016. Until closing, Sabre and the Trust Group will continue to operate as separate companies.