More details of the proposed flotation of Travelport have emerged today, and the company seems to be valued slightly higher than original suggestions.
Travelport, whose operations include the hotel and airlines booking business Galileo, is expected to be worth between $3.05bn and $3.45bn, up from earlier estimates of $3bn (£1.8bn). The business will raise $1.775bn by issuing new shares at between 210p and 290p each and will also sell a 7.19% stake to the government of Singapore Investment Corporation for $225m.
Travelport was formed from Cendant's Galileo and GTA brands, which were bought by Blackstone, Technology Crossover Ventures and the company's management in 2006.
The fate of Travelport's float will be closely watched by advisors to a number of other companies considering a listing, including Merlin Entertainments, which owns Madame Tussauds and Legoland, and fashion group New Look. Advisors to potential floats are starting to get a little nervous about their success - or otherwise - given the recent volatility in the stock market.
Meanwhile Travelport also announced it had been selected by Thomas Cook as its GDS (global distribution systems) provider in the UK. Separately analysts at KBC Peel Hunt have pointed to an intriguing piece on hospitality website 4hoteliers.com about the GDS providers here.
