![\"American](\"https:\/\/www.travelandtourworld.com\/wp-content\/uploads\/2024\/02\/Business-Travel.jpg\")
<\/figure>\n<\/div>\nAmerican Express GBT<\/a> revealed on Monday its plan to purchase CWT, a leading provider in global business travel and meetings solutions, in a move that some investors think could signal an increase in mergers and acquisitions within the industry.<\/p>\n The deal, estimated to be worth around $570 million but subject to adjustments in purchase price and other conditions, aims to be finalized in the latter half of the year, pending regulatory consent and fulfillment of specific closing prerequisites.<\/p>\n \u201cThis transaction is a unique opportunity to significantly grow our business,\u201d Amex GBT\u00a0CEO Paul Abbott<\/strong>\u00a0said in a call with investors early Monday. \u201cWe will welcome 4,000 new customers to the proven Amex GBT software and services model, create more choice for customers and more opportunities for our people.\u201d<\/p>\n Abbott also talked about the acquisition being in line with the objectives of its mergers & acquisitions strategy in terms of growth opportunity and synergies to cost and productivity. He said the deal would increase total transaction value by 45% and revenue by 34%.\u00a0In addition, synergies worth up to $155 million have been identified already.<\/p>\n Amex GBT has a history of significant acquisitions, including the purchase of competitor HRG in 2018 for about \u00a3400 million, followed by the acquisition of Egencia from Expedia Group in 2021 for an undisclosed sum. This made Expedia Group a shareholder in Amex GBT, establishing a long-term strategic alliance.<\/p>\n Abbott noted the CWT acquisition would be financed through a mix of stock and cash. CWT is anticipated to bring in about $850 million in revenue and achieve an adjusted EBITDA ranging from $70 million to $80 million in 2024.<\/p>\n Upon finalizing the acquisition, CWT’s clientele will gain access to the exclusive software and services provided by Amex GBT, aimed at enhancing travel and expense management.<\/p>\n \u201cJoining forces with Amex GBT helps accelerate our vision of a tech-enabled future for business travel, where people and technology combine to deliver an exceptional customer experience,\u201d CWT CEO Patrick Andersen said in a statement. \u201cWe are highly confident in the value creation of the combined company.\u201d<\/p>\n Morgann Lesn\u00e9, a specialist in travel technology mergers and acquisitions at Cambon Partners, praised the decision.<\/p>\n “Business travel is more than any other market a volume play: for the customers, for the suppliers. Size is the only way to make economies of scale and get to relevant levels of profitability,” Lesn\u00e9 said. “The acquisition of CWT by Amex GBT will put increasing pressure on the likes of Travelperk and Navan, both of which will have to fight even harder to get to that level of scale that a giant like Amex GBT-CWT is about to become.”<\/p>\n Lesn\u00e9 went on to say the deal is further proof that the year could turn out to be the biggest ever for M&A activity in the travel technology space.<\/p>\n \u201cA\u00a0wave of inevitable consolidation following COVID\u00a0needs to take place whilst at the same time high interest rates have stalled start-up fundraising, leading to people having to merge or face closing,\u201d he said. \u201cMeanwhile record tourism figures for 2023 and a very positive outlook for 2024 are leaving many players feeling confident that now is the right time to acquire competitors.\u201d<\/p>\n Abbott, during an investor briefing, highlighted the contributions CWT brings to AmexGBT. “CWT’s vision of leveraging technology to advance business travel aligns with our emphasis on software and service solutions,” he commented, lauding CWT’s digital innovations and the significant opportunities for employing generative artificial intelligence across its offerings.<\/p>\n \u201cCWT\u2019s vision of a tech-enabled future for business travel is aligned with our software and services model,\u201d Abbott said, praising CWT\u2019s digital products and its \u201cimmense potential\u201d in using generative artificial intelligence across its products and services.<\/p>\n \u201cThrough the integration of CWT, we will grow our footprint in high-value industry verticals, expand our professional services business and bring more customers onto our software solutions to further differentiate our business and add significant value.\u201d<\/p>\n Recently, Amex GBT launched a program dedicated to artificial intelligence initiatives, aiming to foster innovation and efficiency within the corporate travel management sector.<\/p>\n Based in New York City, this global corporate travel management firm went public in December 2021, boasting an anticipated market valuation of $5.3 billion.<\/p>\n <\/a><\/a><\/a><\/a><\/a><\/a><\/a><\/a><\/a><\/a><\/a><\/a><\/a><\/p>\n The post American Express GBT to enhance global business travel offerings with $570 million CWT acquisition<\/a> appeared first on Travel And Tour World<\/a>. [ad_1] American Express GBT revealed on Monday its plan to purchase CWT, a leading provider in global business travel and meetings solutions, in a move that some investors think could signal an increase in mergers and acquisitions within the industry. The deal, estimated to be worth around $570 million but subject to adjustments in purchase […]<\/p>\n","protected":false},"author":2,"featured_media":12187,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"inline_featured_image":false,"rop_custom_images_group":[],"rop_custom_messages_group":[],"rop_publish_now":"initial","rop_publish_now_accounts":[],"rop_publish_now_history":[],"rop_publish_now_status":"pending","slim_seo":{"title":"American Express GBT to enhance global business travel offerings with $570 million CWT acquisition - Vietpearl Travel","description":"[ad_1] American Express GBT revealed on Monday its plan to purchase CWT, a leading provider in global business travel and meetings solutions, in a move that som"},"footnotes":""},"categories":[1],"tags":[1183,851,432,1065,1181,951,1063,223,169,1182,145],"class_list":["post-12186","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-uncategorized","tag-acquisition","tag-american","tag-business","tag-cwt","tag-enhance","tag-express","tag-gbt","tag-global","tag-million","tag-offerings","tag-travel"],"_links":{"self":[{"href":"https:\/\/vietpearltravel.com\/index.php?rest_route=\/wp\/v2\/posts\/12186","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/vietpearltravel.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/vietpearltravel.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/vietpearltravel.com\/index.php?rest_route=\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/vietpearltravel.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=12186"}],"version-history":[{"count":0,"href":"https:\/\/vietpearltravel.com\/index.php?rest_route=\/wp\/v2\/posts\/12186\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/vietpearltravel.com\/index.php?rest_route=\/wp\/v2\/media\/12187"}],"wp:attachment":[{"href":"https:\/\/vietpearltravel.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=12186"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/vietpearltravel.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=12186"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/vietpearltravel.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=12186"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}
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