American Express Global Business Travel (Amex GBT) has made a binding offer to acquire Expedia Group’s corporate travel arm, Egencia.
As part of the transaction, Expedia Group would become a shareholder in and enter a long-term, strategic commercial agreement with Amex GBT, which would see the Egencia brand continue to be active in the market.
Paul Abbott, CEO of Amex GBT, said: “Our strategy is to provide customers with unparalleled choice by having the best solutions for each managed travel segment that we serve. In Egencia, we would welcome the industry’s leading digital business travel platform.
“Egencia would be strengthened by GBT’s complementary technology, enterprise capabilities and cutting-edge content.
“This would create new opportunities for both multinational and small- and medium-sized enterprise (SME) clients, suppliers and the talented teams within both organisations.”
Arianne Gorin, president of Expedia Business Services, said: “We are thrilled by the potential transaction and what GBT and Egencia could achieve together, as Expedia Group seeks to simplify our business and be a leader in all of our endeavours.
“The combination of GBT’s leading solutions with Egencia’s great technology and team would help create the world’s best business travel offerings for customers and suppliers.
“At the same time, a greatly expanded, long-term accommodations supply agreement with Expedia Partner Solutions (EPS) would enhance GBT’s Supply MarketPlace and meaningfully further Expedia Group’s goal of powering businesses across the entire eco-system.
“Expedia Group strongly believes in the robust return of travel, including in the corporate space. We’re excited about our potential ownership in GBT and our long-term arrangement to power Egencia and GBT, as we do for thousands of other travel companies.”
The proposed deal is subject to consultation by Expedia Group and Egencia with their applicable employee representatives, as well as customary closing conditions including regulatory approvals.