Travelport Worldwide has acquired Mobile Travel Technologies, a private company based in Dublin, Ireland.
MTT provides an industry-leading mobile travel platform and product set that allows airlines, hotels, corporate travel management companies and travel agencies to engage with their customers through sophisticated, tailored mobile services including apps, mobile web and intelligent mobile messaging.
Its mobile apps and services are then delivered, under the customer brand, to smartphones, tablets and wearable devices, including the Apple Watch.
Its clients include some of travel’s most progressive companies such as easyJet, Singapore Airlines, Saudia, BCD Travel, Capita Travel and Events and the LATAM Airlines Group.
MTT works with its clients to create mobile applications and intelligent mobile services that deliver a highly customer-centric experience.
With its mobile travel platform and product set, it can enable travel companies to quickly launch high-end, engaging mobile services in a cost effective manner.
Services include mobile search, booking and check-in as well as products such as MTT Engage, which provides real-time, personalised messages and offers to the traveller, and MTT Concierge Live, which delivers a “day of travel” experience via a traveller’s mobile device including live, contextual travel updates and airport guidance.
Numerous recent industry research studies into the mobile commerce sector, indicate that the sector is positioned for further rapid growth.
In 2014, mobile commerce accounted for around one third of all e-commerce transactions globally; air ticket transactions are predicted to grow from just under 200 million in 2014 to over 540 million by 2018, with transaction value increasing from US$52 billion to US$145 billion for the same period.
Travelport chief executive Gordon Wilson commented: “It is a natural extension of Travelport’s strategy of redefining travel commerce to have acquired, what we believe to be, the largest and most successful company focused on delivering sophisticated mobile services and apps to the travel industry.
“Adding MTT as an expanded capability to our existing travel commerce platform extends our reach further, and at the higher value add end of the service spectrum for our airline, hotel, travel management company and travel agency clients.
“At the same time, MTT will benefit from the network effect of Travelport in terms of infrastructure, our relationships with additional prospective clients and access to our industry leading content.
“We will run MTT as a wholly owned subsidiary of Travelport, retaining existing chief executive, Gerry Samuels, along with his senior team, so that they can maintain their singular focus on the mobile sector and the deep seated customer relationships they build.”
The acquisition was funded from Travelport’s cash resources, with the tech giant expecting the acquisition to be neutral for its financial performance in 2015 and accretive in future years.
In connection with the transaction, Travelport issued grants totalling €14,400,000 to 28 MTT executives, to be paid in the first quarter of 2018 in Travelport common shares based on MTT performance targets and other terms and conditions.