Travelport valued at $1.9bn ahead of floatation

Travelport valued at $1.9bn ahead of floatation

Global distribution platform Travelport Worldwide has priced shares in its initial public offering at the top end of expectations, valuing the company at $1.9 billion.

The Blackstone Group-backed company will offer 30 million shares at $16 when it floats, seeking to raise $480 million.

Travelport links airlines and hotel chains with travel agencies and other ticket buyers.

In a competitive market it is up against fellow distributors such as Abacus and Amadeus, and business travel booking sites such as eTravel and Egencia.

The shares will be listed on the New York Stock Exchange and will trade under the ticker symbol ‘TVPT’ beginning on today.

Travelport has also granted the underwriters a 30-day option to purchase up to an additional 4,500,000 common shares.

Blackstone and Technology Crossover Ventures bought the company for $4.3 billion from conglomerate Cendant in 2006.

Travelport, which has about a 37 percent stake in online travel company Orbitz Worldwide Inc, scrapped its plans to list in London in 2010, citing poor market conditions.

The Atlanta, Georgia-based company said it intended to use the proceeds from the offering to repay debt, which was about $3.4 billion as of March 31st.