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American Express Global Business Travel SPAC deal closes

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American Express Co.'s travel management joint venture, American Express Global Business Travel, will start trading as a public company on the NYSE following the completion of its business combination with special purpose acquisition company Apollo Strategic Growth Capital.

Apollo Strategic Growth Capital shareholders approved the deal May 25, with the transaction closing May 27.

Concurrently with the closing of the business combination, American Express Global Business Travel received proceeds from cash in trust and PIPE investments, including investments by strategic investors Zoom Video Communications Inc. and Sabre Corp. as well as new investors Apollo Global Management Inc., Ares Management Corp. and HG Vora Capital Management LLC.

The class A common stock and warrants of the newly combined company, Global Business Travel Group Inc., will trade on the NYSE under the new ticker symbols GBTG and GBTG WS, respectively, beginning May 31.

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AmEx Global Business Travel to go public via $5.3 bln Apollo SPAC deal

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Amex global business travel to go public via $5.3 billion apollo spac deal.

(Reuters) - American Express Global Business Travel (GBT) said on Friday it would merge with a blank-check firm backed by Apollo Global Management Inc to go public in a deal valued at around $5.3 billion.

The deal with Apollo Strategic Growth Capital (ASGC) will deliver gross proceeds of up to $1.2 billion, including a $335 million private investment in public equity, or PIPE.

Investors in the PIPE included investment manager Ares Management Corp, travel technology company Sabre Corp and Zoom Video Communications Inc.

The merger comes at a time when business travel is recovering from a pandemic-induced slump, in a boost for companies like AmEx GBT that help corporate employees with their travel arrangements.

AmEx GBT was a wholly-owned unit of American Express Co until 2014, when the payments processor sold half its stake to a consortium led by investment firm Certares LP.

Singapore sovereign wealth fund GIC and the Carlyle Group were looking to purchase a 20% stake in the company in late 2019 but pulled out of investment in May last year as the COVID-19 crisis dented AmEx GBT's business.

After the merger, the combined company will be renamed Global Business Travel but it will continue to do business under the AmEx GBT brand name.

The deal is expected to close in the first half of 2022, after which Global Business Travel will be listed on the New York Stock Exchange under the symbol "GBTG."

Special-purpose acquisition companies (SPACs), or blank-check firms, are publicly listed shell companies that raise funds with the intention of merging with a private entity, allowing firms to go public while sidestepping a traditional initial public offering.

Credit Suisse, Goldman Sachs and Morgan Stanley advised GBT on the deal, while Evercore and Houlihan Lokey advised ASGC.

(Reporting by Sohini Podder in Bengaluru; Editing by Uttaresh.V and Aditya Soni)

American Express Global Business Travel Announces SPAC Deal, New Investors Include Zoom And Sabre

global business travel group spac presentation

The largest business-to-business travel platform is going public via SPAC merger announced Friday morning.

The SPAC Deal: American Express Global Business Travel (GBT) announced a SPAC deal with Apollo Global Management Inc  (NYSE:APO)-backed SPAC Apollo Strategic Growth Capital (NYSE:APSG).

The deal values American Express Global Business Travel at a pro forma market capitalization of $5.3 billion.

A PIPE of $335 million includes investments from existing investors and adds new investors Sabre Corp (NASDAQ:SABR) and Zoom Video Communications Inc  (NASDAQ:ZM).

“Commitments from new investors like Zoom, Sabre, Apollo, Ares and HG Vora are a huge vote of confidence in our business and the future of business travel, and meetings and events,” GBT’s CEO Paul Abbott said.

American Express Company  (NYSE:AXP) and Expedia Group Inc (NASDAQ:EXPE) remain two of the largest shareholders owning 30% and 14% of the company respectively.

Public APSG shareholders are expected to own 15.4% of the new company. The new company will trade under the ticker GBTG on the NYSE. The merger is expected to close in the first half of 2022.

Related Link: Zoom Video Q3 Earnings Highlights: Revenue Up 35%, $100K Customers Grow 94% 

About American Express Global Business Travel: Operating in the $330 billion managed global business travel industry, GBT is the leader in the industry with $39 billion in transaction volume, according to figures from 2019.

GBT was spun off from American Express in 2014. The company has an 11-year agreement at the of the merger close to use the American Express trademark.

The company had 19,000 corporate customers in 2019. According to the company’s presentation, it counts five of the 10 largest U.S. banks, five of the 10 largest U.S. healthcare companies and 40 of the top 100 customers by travel spending as customers.

Growth Ahead: GBT sees a $1.4 trillion industry through its different target travel areas and said it has a “significant runway for growth.”

The company said it is well-positioned for recovery in the large travel sector.

Zoom’s Chief Financial Officer Kelly Steckelberg highlighted the investment in GBT leading to “innovative and engaging virtual, face-to-face, and hybrid meeting and event experiences.”

GBT has grown over the years through acquisitions and highlighted M&A as an area for future growth.

Financials: GBT had a transaction volume of $39 billion in 2019 and $2.8 billion in revenue. The company reported that 67% of transactions in 2019 were done digitally. No individual customer makes up more than 6% of company revenue.

In 2019, the company had revenue split as 76% travel and 24% product and professional services.

The U.S. region makes up 48% of company revenue with EMEA at 36%, APAC at 9% and Americas ex U.S. (any country outside of the U.S.) at 6%.

GBT is forecasting revenue of $828 million in fiscal 2021 and $1.63 billion in fiscal 2022.

APSG Price Action: APSG shares are up 1.12% to $9.94 on Friday morning at publication.

Photo by Amy Humphries on Unsplash

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Amex global business travel to go public via $5.3 billion apollo spac deal.

(Reuters) - American Express Global Business Travel (GBT) said on Friday it would merge with a blank-check firm backed by Apollo Global Management Inc to go public in a deal valued at around $5.3 billion.

The merger with Apollo Strategic Growth Capital will deliver gross proceeds of up to $1.2 billion, including a $335 million private investment in public equity, or PIPE.

Investors in the PIPE included investment manager Ares Management Corp, travel technology company Sabre Corp and Zoom Video Communications Inc.

The deal comes at a time when business travel is recovering from a pandemic-induced slump, in a boost for companies like AmEx GBT that help plan corporate trips.

AmEx GBT was a wholly-owned unit of American Express Co until 2014, when the payments processor sold half its stake to a consortium led by investment firm Certares LP.

Singapore sovereign wealth fund GIC and the Carlyle Group were looking to purchase a 20% stake in the company in late 2019 but pulled out of the investment in May last year as the COVID-19 crisis hammered the travel sector.

AmEx GBT has over the past year strengthened its business by acquiring several companies, including Ovation Travel Group, Expedia Group's corporate travel arm Egencia and 30SecondsToFly, a travel tech startup that uses artificial intelligence.

The combined company will be renamed Global Business Travel Group after the deal, but it will continue to do business under the AmEx GBT brand name.

The merger is expected to close in the first half of 2022, after which the company will trade on the New York Stock Exchange under the symbol "GBTG."

Special-purpose acquisition companies (SPACs), or blank-check firms, are shell companies that are raised with the intention of merging with a private entity to take it public by sidestepping a traditional initial public offering.

(Reporting by Sohini Podder in Bengaluru; Editing by Aditya Soni)

Amex GBT to Go Public at $5.3 Billion Valuation in Apollo SPAC Deal

Matthew Parsons , Skift

December 3rd, 2021 at 7:50 AM EST

New investors include Sabre and Zoom — what does that tell you about the future of travel management?

Matthew Parsons

American Express Global Business Travel plans to merge with an Apollo Management-backed blank check company that will take the corporate travel giant public, the company announced Friday.

The merger will value Amex GBT at $5.3 billion , and the transaction will generate the agency up to $1.2 billion, including a $335 million worth of private investment in public equity (PIPE). New investors include Sabre, Zoom, Ares Management Corporation and adviser HG Vora.

Amex GBT also obtained commitments for an additional $1 billion term loan facility, to be established under its existing credit agreement to repay $600 million of certain existing term loan facilities and to provide an incremental $400 million of financing for general corporate purposes.

The deal is expected to be completed in the first half of 2022, subject to closing conditions. Once complete, the combined company will be renamed Global Business Travel Group, Inc. However, it will continue to carry out business under its existing name and brand, American Express Global Business Travel, due to an 11-year trademark agreement to take effect upon the deal’s closure.

The travel agency group, which is 50 percent owned by an investor group led by Certares and 50 percent owned by American Express, had only just completed its acquisition of Egencia .

Amex GBT used to be entirely owned by American Express, but was spun off as a joint venture in 2014. At the time, the travel agency received a $900 million investment from the Certares-led group. In 2019, Amex GBT appointed Paul Abbott, former chief commercial officer of American Express, as CEO, in part to help promote technology growth.

“We expect that becoming a listed company will give us the additional investment capacity to strengthen our commitment to providing unrivalled value, choice and experiences to our customers and partners,” said Abbott.

The travel management sector is rapidly consolidating. The pandemic spurred a frenzied 18-month period of restructuring, refinancing and acquisitions in its wake. CWT also recently exited Chapter 11 bankruptcy protection to shore up its finances , pledging to invest $100 million in its myCWT travel management platform.

The listing on the New York Stock Exchange comes as technology-focused rival agencies TripActions and TravelPerk gaining ground. TripActions said it is now valued at $7.25 billion, following a $275 million fundraising round in October, and like TravelPerk has its sights set on expanding in Europe. It recently appointed a new vice president of sales for southern Europe, Zahir Abdelouhab, who will launch and develop the company’s sales operations these regions.

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Tags: amex gbt , corporate travel , egencia , sabre , spac , travelperk , tripactions , Zoom

Photo credit: American Express Global Business Travel is to merge with an Apollo Management-backed blank check company. Rawpixel / Getty Images

Amex Global Business Travel to Go Public in SPAC Deal

business travel

American Express Global Business Travel is getting ready to list on the New York Stock Exchange through a business combination deal with special purpose acquisition company (SPAC) Apollo Strategic Growth Capital.

GBT announced the deal Friday (Dec. 3), saying it would create the world’s biggest publicly traded B2B travel platform, valuing the company at $5 billion.

“Becoming a public company will be a historic milestone on GBT’s growth journey,” said GBT Chief Executive Officer Paul Abbott. “We expect that becoming a listed company will give us the additional investment capacity to strengthen our commitment to providing unrivaled value, choice and experiences to our customers and partners.”

Read more: Amex Business Travel Makes Deal To Buy Expedia’s Egencia

The deal is expected to yield up to $1.2 billion of gross proceeds, which includes a $335 million PIPE (private investment in public equity) investment at $10 per common share.

New investors in the company include the communications platform Zoom and the travel technology company Sabre, which join existing shareholders American Express and the online travel site Expedia.

“We are thrilled to invest in GBT and look forward to working with their talented team as they strive to deliver innovative and engaging virtual, face-to-face, and hybrid meeting and event experiences,” said Zoom CFO Kelly Steckelberg. “Companies are increasingly looking for experts and best-in-class technology solutions for meetings and events in the new hybrid world, as evidenced by the demand for Zoom Events.”

In May, GBT acquired Expedia’s corporate travel arm Egencia in a deal that also made Expedia a GBT shareholder.

Also read: Business Travel Unlikely to See 2019 Levels Again Until 2024 — If Ever

This latest deal arrives at a time when the business travel industry is experiencing a slow recovery after a dismal 2020.

As we reported last month, the Global Business Travel Association has said that while the industry’s recovery wasn’t as robust as anticipated in 2021, spending should surge in 2022, with a full recovery expected by 2024. By that year, the GBTA said, the industry should return to the $1.4 trillion mark last seen in 2019.

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The Yuri A. Gagarin State Scientific Research-and-Testing Cosmonaut Training Center is a Russian training facility responsible for training cosmonauts for their space missions. It is in Star City of Moscow Oblast, a name which may refer to the facility itself or to its grounds. (Read more about Yury Gagarin Cosmonauts training center )

The secret Star City was built to train Soviet cosmonauts, including Yuri Gagarin, the 1st man in space. Many other famous Russian cosmonauts trained here with Gagarin: German Titov, Valentina Tereshkova, the first female cosmonaut, and Alexei Leonov, the first cosmonaut to exit the spaceship into space . The best facilities were built for them: the world’s largest centrifuge and hydro laboratory. Many cosmonauts from other countries (USA, Japan, Germany and many others) also have trained here together with Soviet Russian cosmonauts. On this Star (Space) City Tour you will see:

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    global business travel group spac presentation

  3. Apollo Strategic Growth Capital Files Investor Presentation on AMEX

    global business travel group spac presentation

  4. O que a ida da Amex GBT pra bolsa diz sobre o mercado de viagens

    global business travel group spac presentation

  5. American Express Global Business Travel Reports Q2 2022 Financial

    global business travel group spac presentation

  6. Global Business Travel Group: Benefit From Business Travel Recovery

    global business travel group spac presentation

COMMENTS

  1. American Express Global Business Travel, the world's leading B2B travel

    The investor presentation will also be filed with the Securities and Exchange Commission ("SEC") by APSG as an exhibit to a Current Report on Form 8-K which can be viewed on the SEC's website at www.sec.gov. ... GBT UK is a subsidiary of Global Business Travel Group, Inc. (NYSE: GBTG). American Express holds a minority interest in GBTG ...

  2. PDF American Express GBT / Apollo Strategic Growth Capital December 3, 2021

    PRESENTATION Barry Sievert: Welcome to the American Express Global Business Travel and Apollo Strategic Growth Capital investor webcast to discuss the proposed business combination. Upon closing of the transaction, the combined company will become known as Global Business Travel Group. The investor presentation was filed as part of APSG's Form 8-K

  3. American Express Global Business Travel SPAC deal closes

    Apollo Strategic Growth Capital shareholders approved the deal May 25, with the transaction closing May 27. Concurrently with the closing of the business combination, American Express Global Business Travel received proceeds from cash in trust and PIPE investments, including investments by strategic investors Zoom Video Communications Inc. and ...

  4. AmEx Global Business Travel to go public via $5.3 bln Apollo SPAC deal

    American Express Global Business Travel (GBT) said on Friday it would merge with a blank-check firm backed by Apollo Global Management Inc to go public in a deal valued at around $5.3 billion.

  5. AmEx Global Business Travel agrees $5.3bn deal with Apollo-backed Spac

    A plan for private equity firm Carlyle Group and Singapore sovereign wealth fund to take a 20 per cent stage in AmEx Global Business Travel, which would have valued the company at about $5bn, fell ...

  6. AmEx GBT Agrees to $5.3 Billion SPAC Deal With Apollo Global

    American Express Global Business Travel agreed to go public through a merger with a blank-check company backed by Apollo Global Management Inc. The transaction values the corporate travel agency ...

  7. AmEx Global Business Travel to go public via $5.3 billion Apollo SPAC deal

    APO. APO-PA. (Reuters) - American Express Global Business Travel (GBT) said on Friday it would merge with a blank-check firm backed by Apollo Global Management Inc to go public in a deal valued at ...

  8. American Express Global Business Travel Announces SPAC Deal, New

    The company had 19,000 corporate customers in 2019. According to the company's presentation, it counts five of the 10 largest U.S. banks, five of the 10 largest U.S. healthcare companies and 40 ...

  9. Amex GBT Makes SPAC Deal to Go Public

    American Express Global Business Travel has agreed to merge with "blank-check" special purpose acquisition company Apollo Strategic Growth Capital in a deal that would take the company public with a $5.3 billion valuation. The combination is expected to close in the first half of 2022, pending shareholder and regulatory approvals.

  10. AmEx Global Business Travel to go public via $5.3 billion Apollo SPAC deal

    The merger with Apollo Strategic Growth Capital will deliver gross proceeds of up to $1.2 billion, including a $335 million private investment in public equity, or PIPE. Investors in the PIPE included investment manager Ares Management Corp, travel technology company Sabre Corp and Zoom Video Communications Inc. The deal comes at a time when business travel is recovering from a pandemic ...

  11. Amex GBT to Go Public at $5.3 Billion Valuation in Apollo SPAC Deal

    The merger will value Amex GBT at $5.3 billion, and the transaction will generate the agency up to $1.2 billion, including a $335 million worth of private investment in public equity (PIPE). New ...

  12. Amex GBT signs SPAC deal to go public

    American Express Global Business Travel has agreed to merge with "blank-check" special purpose acquisition company (SPAC) Apollo Strategic Growth Capital in a deal that would take the company public with a $5.3 billion valuation. The combination is expected to close in the first half of 2022, pending shareholder and regulatory approvals.

  13. Amex Global Business Travel to Go Public in SPAC Deal

    Amex Global Business Travel to Go Public in SPAC Deal. American Express Global Business Travel is getting ready to list on the New York Stock Exchange through a business combination deal with ...

  14. American Express GBT will go public via SPAC at $5.3B valuation

    By Mitra Sorrells | December 3, 2021. American Express Global Business Travel (GBT) will become a public company through a special purpose acquisition company (SPAC) deal with Apollo Strategic Growth Capital (APSG). With plans to trade under the ticker GBTG, the company is expected to have a market capitalization of $5.3 billion.

  15. GBTA APAC Conference 2024 Brings Together Industry Leaders and

    There's no slowing down the enthusiasm and demand from the APAC region as it continues its upward trajectory in business travel volume, spending and career satisfaction, according to forecasts and insights shared at the 2024 APAC Conference hosted by the Global Business Travel Association (GBTA), the premiere trade association and "voice ...

  16. American Express Global Business Travel

    American Express Global Business Travel delivers unrivaled value, choice and experiences through its leading B2B travel platform American Express Global Business Travel and Apollo Strategic Growth Capital to combine at pro forma market capitalization of $5.3 billion Transaction to provide up to $1.2 billion of gross proceeds, including an upsized and oversubscribed fully committed $335 million ...

  17. Yury Gagarin Cosmonauts Training Centre (Zvezdny Gorodok

    Toll Free 0800 011 2023 ... Day tours. Tours by Region

  18. 673 Lounge (Lyubertsy, Russia): Hours, Address

    Church of the Presentation of the Lord. 1. 0.5 mi Churches & Cathedrals. Offenbach Gallery. 3. ... (Technical University) Hotels near Kaluga State Pedagogical University Hotels near Moscow International Higher Business School ... Restaurants Flights Travel Stories Cruises Car Hire More. Add a Place Travel Forum Airlines Travellers' Choice Help ...

  19. GLS

    GLS - Global Line Sevice. Contacts. Address: 115230, Russia, Moscow, street Elektrolitnyi proezd, 3. RUS. tel: +7 (495) 782-55-00. fax: +7 (495) 782-55-54. Home Air Trucking Multimodal transportation Dangerous cargo Customs clearance Contacts. Contacts.

  20. FMC Eurasia LLC (54930028MVIRY0XIUQ20)

    Business Registry Name RA999999 Business Registry Identifier Not supplied! Legal Entity Identifier (LEI) details Registered By Business Entity Data B.V. (GMEI Utility a service of BED B.V.) Assignment Date 2013-03-08 22:58:00 UTC Record Last Update 2023-09-13 07:53:35 UTC Next Renewal Date 2016-01-23 21:28:00 UTC Status Code LAPSED

  21. American Express Global Business Travel

    Global Business Travel Group, Inc. (NYSE: GBTG) uses certain trademarks and service marks of American Express Company or its subsidiaries (American Express) in the "American Express Global Business Travel" and "American Express GBT Meetings & Events" brands and in connection with its business for permitted uses only under a limited license to its subsidiary from American Express ...