Travelport is to sell its ground content wholesale business, Gullivers Travel Associates (GTA), to Kuoni for US$720 million.
The sale, scheduled for completion in May, is dependent on the majority approval by Travelport’s bank lenders and a vote by the shareholders of Kuoni.
Kuoni Group CEO Peter Rothwell said, “In acquiring GTA, Kuoni is investing in one of the fastest-growing business segments within the tourism industry.â€
Jeff Clarke, CEO and president of Travelport, said the sale was in line with its strategy of focusing on its core businesses.
“Kuoni is a well-known and long-term customer of Travelport and our aim will be to work in partnership with them to improve further the distribution and sale of the combined Kuoni/GTA inventory across the Travelport subscriber network,†he said.
The net proceeds from the sale will be used to pay down Travelport bank debt.
By TravelMole UK
