Travelport defends US stock market listing

Travelport defends US stock market listing

The boss of Travelport has defended its stock exchange listing in the US ahead of the technology company releasing its second-quarter earnings tomorrow (Tuesday).

Travelport was floated on the New York stock exchange last September although it remains headquartered in the UK.

This gave it a stock market of capitalisation of $1.56 billion, although it remains smaller than Spanish rival Amadeus and Dallas-based Sabre.

However, the company would be in the FTSE 250 index if it was listed in London.

When asked by The Telegraph whether it suffers from the downside of its US listing, chief executive Gordon Wilson said: “Yes and no.”

“In all honesty, as a newly quoted company and as a business-to-business company as well, which means by definition that you’re not so well-known, I’m spending a lot of my time educating investors in terms of what we are and how we operate and also how the world works outside of America. That’s something that just takes time.

“We’re very proud of the fact that we’re a British-headquartered company and of what we have done here.

“This is a success story of a British company that has taken itself public in New York and is a global enterprise. We don’t have many of those, especially not in the technology field.”

Travelport’s systems control 25% of global air travel bookings, making it third largest in the sector behind Sabre’s 40% and Amadeus’s 35%.

It is the second largest behind Amadeus in terms of revenues, however, and has the largest number of hotels that can be booked through its systems.

“Nobody has more,” said Wilson. “We’re in a good position there.”

Growth is also coming through the rapidly developing online travel payments sector, where Travelport last year raised its stake in payments company eNett.

The company also has a bespoke software applications business, running the key reservations systems for Delta Air Lines and fares and shopping systems for Emirates.

Travelport last month acquired mobile technology firm MTT, which provides mobile technology and apps to the travel industry and develops and hosts travel apps for airlines including easyJet.

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