TUI sells TQ3
BCD Holdings is acquiring TUI’s TQ3 Travel Solutions Management, subject to regulatory approval.
BCD Holdings expects to close the transaction in March 2006 and will abandon the TQ3 brand name upon completion of the transaction.
BCD Holdings has also acquired an ownership position in The Travel Company and plans to combine the capabilities and assets of TQ3 with those of The Travel Company and its wholly owned travel management subsidiaries.
The new combined global company - to be named shortly - will be the third largest travel management company in the world with US$8 billion in annual sales and a combined worldwide work force of 10,000.
TUI’s business travel entities and The Travel Company give BCD Holdings’ new travel management company significant global reach. In the coming months, the newly named company will continue to expand its capabilities and global reach, pursuing joint ventures or other partner relationships that meet the ever-changing needs of its customers.
This news follows the announcement that BTI’s joint shareholders - BCD Holdings N.V. and Hogg Robinson plc - have agreed to pursue independent strategies. BCD Holdings and Hogg Robinson will continue to service existing, mutual BTI customers under the BTI banner, honoring all contractual obligations.
“These acquisitions change the landscape of travel management and mark a new era for us, our new team members and our existing and future customers,” said WorldTravel BTI CEO Mike Buckman, who will become the global CEO of the new company.
“This move and the creation of this new company, which, of course, is subject to regulatory approval, completes our mission to develop a global travel management company under one ownership,” says Marc Hildebrand, CEO of TQ3 Travel Solutions Management Holdings GmbH, who will continue his responsibilities for the regions of Europe, Middle East, Africa and Asia Pacific.
TQ3 - which has wholly owned assets in Belgium, Canada, France, Germany, India, Luxembourg, The Netherlands, the Nordic region, South Africa, Spain, and the UK - has recently made significant inroads into other strategically important markets, including Central America, Africa and Asia. TUI’s business travel assets produce annual revenues in excess of US$3.5 billion and employ more than 4,600 staff throughout the world.
In acquiring an ownership in The Travel Company, BCD Holdings augments its global presence in the UK. In addition, The Travel Company brings a strong competency and customer base in the movie and music industry, which enhances WorldTravel BTI’s strong service to that segment of the travel industry.