Blackstone Advises Travelweb on Sale to Priceline.com

May 5, 2004, 00:00 AM by User Not Found
New York, May 5, 2004: Travelweb LLC has announced the sale of 71.4% of the equity interests in Travelweb to Priceline.com. This brings Priceline.com's total ownership in Travelweb to 85.7%.

New York, May 5, 2004: Travelweb LLC has announced the sale of 71.4% of the equity interests in Travelweb to Priceline.com. This brings Priceline.com's total ownership in Travelweb to 85.7%.

The sale price for the interests sold was $20.8 million. In addition, Priceline.com will potentially pay an earn-out after 12 months of approximately 954,547 shares of Priceline.com common stock to the selling shareholders of Travelweb in the event certain performance goals are met.

Priceline.com has stated that it has entered into an agreement to purchase the remaining 14.3% outstanding equity interest in Travelweb held by Intercontinental Hotels Group at a future date.

Travelweb has supply agreements with more than 11,000 participating properties in the Travelweb system, including the brands of its founder hotels, Hilton, Hyatt, Intercontinental Hotels Group, Marriott, and Starwood, and has distribution agreements with a number of travel websites, including Orbitz.com.

The Blackstone Group served as exclusive financial advisor to Travelweb in this transaction.