Genstar Capital Management has completed the sale of its portfolio company TravelClick, a provider of cloud-based software services to the hospitality industry, for $930 million.
TravelClick provides cloud-based revenue-generating services for hoteliers worldwide. Products include iHotelierm, a Web-based central reservation system; iHotelier Web 3.0 for online booking; iHotelier Mobile, a mobile booking solution; iHotelier Global Distribution Systems that promotes hotel’s availability in third party channels; iHotelier VoicePro, a private label voice reservations solution; iHotelier Demand that offers access to distribution channels and partnerships; and Property Management System Integrations, a service that enables hotels to align reservations, rates, and inventory. TravelClick’s products and services are used by more than 38,000 hotel properties in over 150 countries. TravelClick was founded in 1987 and is based in New York (www.travelclick.com).
Genstar acquired TravelClick in 2007 and since acquisition the company has more than doubled revenue and EBITDA. During Genstar’s ownership, the firm grew its market leadership in the hospitality data, marketing and software sector by investing in the business to drive growth both organically and through two acquisitions, updating technology, implementing a new reservation booking engine, and nearly doubling the sales force.
“Genstar launched its software industry focus seven years ago and closing this sale is a strong validation of our strategy of driving improvements in vertical market leaders. CEO Larry Kutscher and his team have delivered outstanding results and we’d like to thank them for their leadership,” said Jean-Pierre Conte, Chairman and Managing Director of Genstar Capital.
Genstar Capital invests from $50 million to $400 million in middle-market companies that have enterprise values from $50 million to $1 billion and EBITDAs greater than $15 million. Sectors of interest include financial services, software, healthcare, and industrial technology industries. The firm was founded in 1988 and is based in San Francisco (www.gencap.com).
© 2014 PEPD • Private Equity’s Leading News Magazine • 5-12-14
