Posted on: October 9, 2012
Travel and Transport acquires Ultramar Travel Management
Travel and Transport, No. 12 on Travel Weekly’s 2012 Power List, has acquired 100% of Ultramar Travel Management, No. 29 on the list.
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Financial terms were not disclosed.
Under the new ownership structure, Ultramar, with 269 employees and $500 million in sales, will operate independently under its own name and retain its separate operational infrastructure.
With the acquisition, the combined companies have more than 1,000 employees located in 37 states, with total annual sales in excess of $2 billion, according to Travel and Transport.
Travel and Transport CEO Bill Tech called the acquisition a “true game changer for the industry.”
“We believe that the combined power of our organizations, along with the continued steadfast belief in flexibility and our dedication to customer service, will be the clear alternative to the mega-firms in the market today,” Tech said.
Omaha, Neb.-based Travel and Transport said the acquisition enables it to “strengthen its leadership position among corporate travel providers and extend its reach by combining the two companies’ expertise and deep penetration in the finance, retail, private equity/finance, insurance, architecture/engineering and law sectors.”
Ultramar’s existing executive team will remain in place for a minimum of five years under employment contracts that became effective upon completion of the acquisition, Travel & Transport said. No layoffs are planned.
Ultramar employees will retain their current compensation and benefits packages, and after one year will become employee-owners by participating in Travel and Transport’s employee stock ownership plan.
Ultramar CEO Peter Klebanow said, “This combination of two similar cultures, while retaining our strong individual brands, represents the best possible set of elements to ensure success for years to come.”
Combined with Ultramar, Travel and Transport would have ranked at No. 11 on Travel Weekly's 2012 Power List, above Flight Centre USA and within striking distance of Travel Leaders Group at No. 10.