CTM purchases Houston, Texas based TMC Avia International Travel.
Listed TMC Corporate Travel Management has just announced further growth in the US market, with the US$4.125m purchase of Avia International Travel based in Houston.
The deal is effective 01 September, with CTM md Jamie Pherous saying combining Avia with CTM’s existing offices in the USA “will allow us to better leverage our combined buying power, client facing solutions, and support expertise moving forward.”
He said that Houston is one of the biggest travel markets in the world,with Avia being a specialist in the resources sector offering technology and fares specifically for this market.
Acquiring Avia will boost CTM’s combined North American TTV for FY15 to more than US$500 million, “allowing us to become a more significant player in the North American market,” Pherous said.
Avia has 40 staff with an annual sales volume of about US$50 milliion, and the purchase price represents about 5.5 times the company’s US$750,000 pre-tax profit last year.
More information in today’s Travel Daily.