First Free Story (1 of 3)Join Skift Pro
Travel-booking company Sabre is buying the remaining stake in Abacus International that it doesn’t already own for $411 million, which will allow it further growth in the Asia-Pacific region.
Abacus International is a travel-booking system in the Asia-Pacific region that is owned by a group of 11 Asian airlines and Sabre, which has a 35 percent stake. The company has more than 100,000 travel agents across the region’s 59 markets.
Sabre, a technology provider to the travel and tourism industry, has segments including Sabre Airlines Solutions and Sabre Hospitality Solutions, which provide support to 78 airlines and thousands of hotels in the Asia-Pacific region.
The acquisition also includes new long-term distribution agreements between Southlake, Texas-based Sabre Corp. and the group of 11 Asian airlines.
The deal is targeted to close in 2015’s third quarter. If the transaction is completed at that time, Sabre expects it will boost 2015 revenue by about $120 million and be about neutral to the year’s adjusted earnings per share.
For 2016, Sabre expects the acquisition to increase revenue by more than $300 million and add about 5 cents per share to its adjusted earnings.