Corporate Travel Management (ASX:CTD) to buy Travel and Transport

Company News

by Rachael Jones

Corporate Travel Management (ASX:CTD) has entered into a binding agreement to acquire 100 per cent of Travel & Transport, Inc.

This is for a cash and debt free enterprise value of $274.5 million.

Travel & Transport is a leading US travel management company headquartered in Omaha, Nebraska. 

The transaction is expected to be approximately 10 per cent earnings per share accretive on a pro-forma CY19 basis, based on Travel & Transport’s most recent audited financials, before the impact of Covid-19.

It's estimated to be approximately 30 per cent accretive including synergies.

The acquisition is expected to be completed by the end of October.

Shares in Corporate Travel Management (ASX:CTD) shares last traded at $16.16.