Amex GBT announces purchase of rival CWT for US$570 million
Corporate travel agency American Express Global Business Travel (Amex GBT) has announced the purchase of rival CWT, a transaction valued at about $570 million.
The deal will be financed with a combination of stock and cash and is expected to close in the second half of 2024.
Like all transactions of this type, it is still pending regulatory approval.
CWT serves 4.000 customers and is expected to generate approximately $850 million in revenue, as well as between $70 million and $80 million in Ebitda by 2024.
According to Paul Abbott, CEO of Amex GBT, "adding CWT to Amex GBT will create more choice for customers, more opportunities for travelers and more value for shareholders.
Once the acquisition closes, CWT customers will have access to Amex GBT's software and services for corporate travel and expense, including Neo1, Neoand Egencia, in addition to Select, Select, Select and Select;Select, which allows customers to integrate with leading technology partners.
Customers will have access to a broader portfolio of professional services, including meetings and events, consulting and sustainability solutions.
As Patrick Andersen, CEO of CWT, said, “joining forces with Amex GBT helps accelerate our vision of a future for business travel where people and technology combine to deliver an exceptional customer experience. We are very confident in the value creation of the combined company.