Travelocity Owner Sabre Files for U.S. Initial Public OfferingLeslie Picker
Sabre Corp., the provider of travel data and reservation software whose businesses include Travelocity, filed to raise $100 million in an initial public offering.
The figure is a placeholder used to calculate fees and may change. The company, backed by TPG Capital and Silver Lake Management LLC, plans to use the funds from the IPO to repay debt. Morgan Stanley, Goldman Sachs Group Inc., Bank of America Corp., and Deutsche Bank AG are managing the offering.
Sabre’s technology processes more than $100 billion of estimated travel spending each year, according to a regulatory filing today. The Southlake, Texas-based company’s customers include airlines, hotel providers, cruise lines and tour vendors, which contributed to its $2.3 billion in revenue for the nine months through September 2013.
The former unit of AMR Corp. was traded on the New York Stock Exchange from 1996 until it was taken private a decade later by TPG and Silver Lake for about $5 billion, including debt.
In the first nine months of 2013, the company’s travel-network segment contributed to 57 percent of revenue, while its airline and hospitality solutions made up 22 percent. Travelocity produced 21 percent of sales over the period, the filing shows.