USA Networks has made a minority investment of $20 million in National Leisure Group (NLG) and has entered into an agreement that names NLG as a preferred provider of cruise and vacation packages to USA`s new travel cable channel.
A press release states, “This concludes discussions related to a proposed acquisition of NLG by USA and settles the companies` litigation resulting from those discussions.”
“USA`s new partnership with NLG is a smart strategic investment that strongly supports our commitment to the travel business. We are very excited about this relationship and fully supportive of NLG`s business,” said Jon Miller, President and CEO, USA Information and Services.
Aaron Gowell, President of National Leisure Group commented, “This is a very significant step in reinforcing our industry position and commitment to growing the business for the benefit of our partners and suppliers. We`re excited about our partnership with USA. This new relationship furthers our role in providing technology and fulfillment services in the complex travel (cruise and vacation) business.” USA Networks has asked a judge to approve the cancellation of its proposed buyout of the online cruise and vacation package agency National Leisure Group Inc. USA Networks had said that NLG would suffer from “reasonably foreseeable future effects of the events of the 11th September at the World Trade Center.” USA Networks claimed that National Leisure`s business slump would constitute a significant change in the company`s condition, in violation of the acquisition agreement.