American Express to Sell Its Stake in Global Business Travel Group
This summary outlines the key terms of the transaction and the strategic context around the move.
Deal Snapshot: American Express Stake Sale
| Stakeholder | Action/Role | Details |
|---|---|---|
| American Express | Plans to sell its stake | Will dispose of its 30% interest in Global Business Travel Group and expects roughly $1.5 billion in proceeds, the company said Monday. |
| Long Lake Management | Buyer under the agreement | The divestment aligns with an agreement to transfer the travel-services business for $6.3 billion. |
| General Catalyst and Alpha Wave | Backers | Providing backing for Long Lake Management. |
| American Express | Maintains existing arrangements | Its brand-licensing and commercial arrangements with Global Business Travel Group remain intact. |
| Expedia, Qatar’s investment arm, and BlackRock | Other shareholders | Have agreed to the deal. |
Background and Strategic Context
Amex, based in New York, has treated travel as a core offering for more than a century, beginning in 1915 when it started issuing rail and steamship tickets, according to its website.
- 2014: Amex formed a joint venture for Global Business Travel Group.
- Sold a 50% stake to an investor consortium led by Certares.
- The consortium included Qatar and BlackRock.
- The consortium paid $900 million for the 50% interest.
- Amex will retain its leisure agency business.
- The transaction is expected to close by year-end.
- Amex’s corporate travel business focuses on corporate travel.
- The leisure operation remains with Amex.
In transactions like this, companies often aim to sharpen strategic focus and redeploy capital, while letting specialized operators run complex, scale-driven businesses.
Our approach to corporate travel centers on strengths in corporate cards, payments, and expense management, with continued investment for businesses of every size. Global Business Travel Group is an independent business-travel company, and this transaction does not alter Amex’s strategy.
With the sale to private investors, Global Business Travel Group will be taken private and will no longer trade on public markets.