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Travelport acquires its third party distributor in Japan

April 7, 2016 Business News No Comments Email Email

Travelport (NYSE: TVPT), a leading Travel Commerce Platform, has today announced further expansion of its interests in Japan with the purchase of its distribution business – Galileo Japan.  Galileo Japan was previously owned by a consortium of airline owners.

Japan is one of the world’s largest travel markets, and, in terms of flight seats offered for sale, is only smaller than the USA and China due to its large volume of domestic air travel bookings, as well as the international connectivity provided to Japanese businesses and tourists.  It is also the world’s fourth largest economy in terms of GDP.

The Galileo Japan acquisition means that Travelport can now establish a new, consolidated Travelport Japan entity in the country.  Whilst still offering its customers a choice of the Apollo or Worldspan platforms, the extended operation will build on the successful operations Travelport has been offering in Japan over the past 30 years and allow for much tighter alignment in terms of products and services offered.  All former Galileo Japan employees, including Managing Director, Yoshinobu Aoyama, will transition to the new Travelport entity which will be headquartered in Tokyo and supported by two satellite offices in Nagoya and Osaka.

The news of the acquisition comes as Travelport continues to invest and enhance its global Travel Commerce Platform through which it has established leadership positions in air merchandising, hotel distribution, B2B payments and mobile commerce.

Gordon Wilson, President and CEO for Travelport, commented: “This is a tuck in acquisition of a business we know well and have worked with for three decades. The decision to transform from a distribution franchise to a wholly owned operation is commensurate with our goals to further expand our successful business across Asia. Japan is a major travel market and owning our operation here, whilst continuing our other successful strategic partnerships in Japan, will enhance our growth prospects in the country. We calculate that we now process nearly half of all international air bookings made by Japanese travel agencies and lead the market.”

Yoshinobu Aoyama, Managing Director – Galileo Japan, said: “We see this acquisition as a very positive move for our customers. Now, with the full backing of Travelport, we will be better placed to take advantage of the considerable opportunities that we see ahead of us in the region. The new investment in our business and team means that our travel agency customers will benefit from enhanced services and support.”

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