GO
Loading...

Enter multiple symbols separated by commas

Sabre Agrees to Be Bought for $4.5 Billion

Sabre Holdings, owner of Web site Travelocity, agreed to be sold to private equity firms Silver Lake Partners and Texas Pacific Group for $32.75 a share in cash, or about $4.45 billion.

The buyers valued the transaction at about $5 billion, including the assumption of approximately $550 million in debt. They said in a press release that the per share price represents a premium of 30% over the Sabre Holdings average closing share price during the 60 trading days ended Dec. 8.

The board of directors of Sabre Holdings approved the definitive merger agreement and recommended its approval by stockholders.

"After a thorough assessment, we concluded that this transaction represents a compelling outcome for our shareholders, customers and employees," said Sam Gilliland, Chairman and CEO of Sabre Holdings.

"We are excited about the ability to deliver substantial value today to our shareholders, and we look forward to a strong future, partnering with two preeminent investment firms that are closely aligned with our strategy and long-term objectives. This transaction is a clear ndorsement of our business model, our industry leadership and the hard work and dedication of our talented people around the world."

Greg Mondre, a Managing Director of Silver Lake Partners, said, "Sabre has a remarkable track record of pioneering and delivering best-in-class technology solutions for the global travel industry. We look forward to working with Sabre's talented management team as they continue to deploy technology as a source of competitive advantage and value-add for customers."

Contact U.S. News

  • CNBC NEWSLETTERS

    Get the best of CNBC in your inbox

    Please choose a subscription

    Please enter a valid email address
    To learn more about how we use your information,
    please read our Privacy Policy.

Don't Miss

  • Mark Cuban and Donald Trump

    Donald Trump appears to have Mark Cuban's vote, at least in terms of how the billionaire real estate mogul is conducting his political campaign.

  • Ferrari 488 Spider

    Ferrari's new 488 Spider will have a V-8 turbo engine and a retractable hard-top roof that lowers in just 14 seconds.

  • Members of the New Horizons science team react to seeing the spacecraft's last and sharpest image of Pluto before closest approach later in the day at the Johns Hopkins University Applied Physics Laboratory (APL) in Laurel, Maryland July 14, 2015.More than nine years after its launch, a U.S. spacecraft sailed past Pluto on Tuesday, capping a 3 billion mile (4.88 billion km) journey to the solar system's farthest reaches, NASA said.

    The New Horizons Pluto flyby mission set records for NASA's social media and web metrics——but why do we care so much?

U.S. Video